Employment Insights – April 2024

With its monthly newsletter, Employment Insights, Andersen provides a comprehensive overview of the latest developments in employment law, case law news, case studies and collective agreements in different countries. This edition includes contributions from experts from 21 European jurisdictions.

Andersen’s European labor law department consists of specialized lawyers and accountants who are dedicated to actively advising national and international companies in a variety of sectors. The professionals offer comprehensive support , intervening in the event of disputes or offering advice throughout the entire duration of the employment relationship, from stipulation to termination.

The Italian experts led by the partner Uberto Percivalle focus their attention on some of the latest and most interesting innovations in Italian labor law. To learn what is new in all other jurisdictions, we invite you to read the attached publication.

Important legal frameworks introduced on March 3, 2024: one ensuring fair pay for contract workers across sectors, and the other mandating labor cost verification in construction contracts.

The responsibilities of principals in case of contracts for works or services have been stiffened

According to the March 3, 2024 decree (immediately enforceable but subject to conversion) staff employed in contracts for works or services (as well as subcontractors’ employees) shall be entitled to an economic treatment at least equal to that provided by the national and territorial collective agreements most widely implemented in the same business field and in the area whose scope of application is closely related to the activity covered by the services or work contract. In essence, the decree established a minimum remuneration parameter.

Verification of the adequacy of the incidence of labor on the value of construction works

According to the March 3, 2024 decree, in the context of construction works, principals (in private contracts) and respectively, project managers (in public contracts), shall have to verify the adequacy of the incidence of labor on the relevant construction work, before proceeding to complete payment. In private contracts with a value of at least EUR 500,000, payment of the final balance in violation of said verification shall be punishable with an administrative penalty of EUR 1,000 to 5,000 to be paid by the principal.

License based on health and safety points

As of 1 October 2024 companies who intend to operate within construction or civil engineering work sites will have to obtain a special points-based license. The license will be regulated by a decree of the Ministry of Labor, and to obtain it companies will need to prove compliance with training obligations, possession of the DURC (regularity of contributions), DVR (risk assessment), DURF (fiscal regularity) documents. The license will have an initial score of thirty points, that may be reduced in the event of violations; at least 15 points will be required to operate on construction sites. Points deducted may be reinstated by following appropriate training courses. Points can be increased where violations and accidents are not incurred and also by having an organization and management model. The points-based license is not necessary for companies whose organization and quality have been certified.

National collective bargaining agreement for employees of tertiary distribution and service companies

On 22 March, the employers’ associations and the unions signed the renewal of the Collective Bargaining Agreement for tertiary and commerce employers, affecting more than 3 million workers. The renewal will now be submitted to workers’ approval. It provides for increases distributed in six installments between 1 April 2023 and 1 February 2027. For employees graded “4th” level, the total increase will be EUR 240 per month, along with a one-time amount. The agreement regulates the possibility to offset increases with amounts already granted by employers. The agreement also modifies various other contractual aspects, including leaves of absence for women victims of gender-based violence, the possibility of conciliations of labor disputes by remote or telematic means, grounds for fixed-term employment agreements longer than 12 months, the expansion of cases of seasonal fixed-term agreements, and an update of sample occupational profiles in the classification of workers.

National collective bargaining agreement for food industry workers

On 1 March 2024, an agreement was reached to renew the Collective Bargaining Agreement for the food industry sector, which includes about 400,000 employees. The agreement, among the rest, provides for an increase, over a four-year period, of EUR 214 (for the relevant reference grade), a 25% flexibility cap (of permanent contracts on a company basis) in order to assess the maximum use of fixed-term contracts, staff leasing and fixed-term temporary agreements, and an increase in the contribution to the relevant Health Fund, in favor of maternity and paternity, and the relevant supplementary pension fund.