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Labor law
in Italy.

SALARY PAYMENT IN Euro (EUR, €)

CONTRACT LANGUAGES Italian / English

PAYROLL TAX 20.40% – 32.40%

PAYROLL CYCLE Monthly

TIME TO HIRE 24 hours

Labor law in Italy – Overview

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:

  • Employment Contracts — in Italy these can be either for an indefinite period (permanent contracts) or for a fixed term. The contract should specify the job role, working hours, salary, and other conditions of employment.
  • Working Hours — the standard working week is 40 hours, usually spread over 5 days. Overtime is permitted but is regulated, typically requiring higher pay.
  • Rest Periods and Holidays — employees are entitled to a rest period of 11 consecutive hours every 24 hours, and a rest period of 24 consecutive hours every seven days, typically coinciding with Sunday. Full-time workers are entitled to a minimum of 4 weeks of paid vacation per year.
  • Maternity and Paternity Leave — female employees are entitled to maternity leave (congedo di maternità), which usually consists of 2 months before and 3 months after childbirth. Fathers are entitled to an uninterrupted compulsory leave of 7 days after the birth of their child. Additional parental leave is available for both parents until the child is 12 years old.
  • Sick Leave —employees are entitled to paid sick leave, provided they have a medical certificate. The amount of paid sick leave that can be taken and the level of pay received can depend on the employee’s length of service and other factors.
  • Termination —dismissal laws are complex and depend on factors such as the size of the company and the reason for termination. Employees are generally entitled to notice or payment in lieu of notice, and may be entitled to severance pay.
  • Anti-Discrimination Law — Italian labor law prohibits discrimination on grounds such as race, nationality, gender, sexual orientation, religion, political opinions, and disability.
  • Remote Work — the “Lavoro Agile” law governs remote work, providing guidelines for working hours, health and safety, equal treatment, and more.

Notice period laws in Italy

Dismissals in Italy

In Italy, the required notice period is 30 days.  

Resignations in Italy

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.

Severance laws in Italy

In Italy, it is possible employers need to pay termination benefits as severance.

Hiring in Italy, Made Easy

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.

FAQs

The most important labor laws in Italy include the following: 

  1. Law No. 300/1970 – Workers’ Statute (Statuto dei Lavoratori) — this is one of the foundational laws of Italian labor legislation, protecting workers’ rights in areas such as hiring, dismissal, freedom of expression, union activity, and maternity protection.
  2. 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.

  3. 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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