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SALARY PAYMENT IN Euro (EUR, €)
CONTRACT LANGUAGES Italian / English
PAYROLL TAX 20.40% – 32.40%
PAYROLL CYCLE Monthly
TIME TO HIRE 24 hours
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Similar to all members in the EU, Italy has a comprehensive labor law system in place that ensures protection for both employees and employers. The labor code of Italy is where you can find all legislative elements that pertain to labor law in Italy. Key elements of Italian labor law include:
Italian labor law is a comprehensive system designed to protect the rights of workers while balancing the needs of employers. It encompasses a range of topics including contracts, working hours, holidays, sick leave, maternity and paternity leave, termination, discrimination, and more. Consider:
In Italy, the required notice period is 30 days.
There is no legal requirement in Italy for employees to give a minimum notice period when resigning, unless such a stipulation exists in the employment contract. Still, one month’s notice is standard when an employee resigns.
In Italy, it is possible employers need to pay termination benefits as severance.
Your business can easily hire employees in Italy without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.
The most important labor laws in Italy include the following:
Law No. 81/2015 – Jobs Act — this law significantly reformed the labor market. It introduced a new type of open-ended contract that includes an increasing level of protection against dismissal over time, extended unemployment benefits, and improved active labor market policies.
Legislative Decree No. 81/2008 – Health and Safety in the Workplace — this consolidated law requires employers to ensure health and safety in the workplace, assess risks, and take necessary precautions. It also mandates training for employees and covers responsibilities related to temporary and agency workers.
In Italy employers can terminate an employer during their probationary periods. For probationary period terminations, no notice is required.
In Italy, just as the employer can terminate employment during the probationary period without notice, so can the employee. Employees do not need to give a notice if they want to terminate the employment contract during the probationary period.
Terminating employment after the probationary period must be done with written notice and confirmation of receipt.
Furthermore, if an employer wants to dismiss an employee in Italy, the employer must give 30 days’ notice. It is best practice to: (1) inform that employee of the issue or reasoning in writing; (2) conduct a meeting with the employee about the issue or reason; (3) inform the employee of the decision in writing after the meeting, and; (4) give 30 days’ dismissal notice at this time.
This process will ensure compliance with Italy’s labor codes.
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71 Robinson Road #13-153
068895, Singapore
+65 3105 1170
Skalitzer Str. 85/86
10997, Berlin
+49 30 3119 9653
1700 S. Lamar Blvd Suite 338
Austin, Texas 78704
+1 (737) 265-6065
See more locations
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