Employment Insights – May 2024

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

The European department of Andersen dealing with labor law consists of specialized lawyers and accountants who are dedicated to actively advising national and international companies in various sectors. The professionals provide complete support, intervening in disputes or offering advice throughout the employment relationship, from signing to termination.

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

Immigration: regulations on entry and residence for digital nomads

The Ministerial Decree of February 29, 2024, facilitates the entry into Italy of digital nomads and highly qualified remote employees without the restrictions of quotas for non-EU employees. The decree covers self-employed employees, employees, and hetero-organized collaborators. The requirements include a minimum annual income of € 7,891.93, health insurance, accommodation documentation, at least six months of agile work experience, and a work or collaboration contract. The residence permit, valid for up to 12 months and renewable, must be requested within eight days of entry. Family reunification is provided, and activities in Italy will be subject to Italian social security and tax regulations.

Resignation: the employer can waive the notice period without paying the substitute allowance

The Court, with decision No. 6782 of March 14, 2024, ruled that the employer’s waiver of the resignation notice period does not oblige the payment of the substitute allowance. The decision overturned the appellate judgment that had upheld the employee’s request. The Court clarified that the notice period is an obligation of the resigning party and a right of the other party, and the employer’s waiver of the notice does not generate the obligation to pay an allowance unless there is a specific clause in the individual or collective contract.

The company collective agreement is not binding for everyone

The Court of Cassation, with an decision of April 17, 2024, ruled that a employee from a company merged with another is entitled to retain the benefits of the company collective agreement of the original company, despite the new collective agreement signed by the incorporating company after the merger. The Court decided that the new contract does not automatically replace the previous one if the employee and their union have expressed dissent. The decision highlights the importance of carefully considering working conditions and collective agreements following mergers and business transfers.

Gender equality: deadlines for the biennial report and contribution exemption

The Ministry of Labor has announced that the deadline for submitting the 2022-2023 Biennial Report on the personnel situation, for companies with more than 50 employees, has been extended from April 30 to July 15, 2024. From June 3, 2024, a telematic model for compiling the report will be available, which must be completed by July 15. Until then, companies participating in public procedures can submit the 2020/2021 biennial report, integrating it with the 2022/2023 report by July 15. The report, mandatory for companies with more than 50 employees and optional for smaller ones, collects data on various aspects of male and female personnel, including the number of hires, salaries, contractual framework, and company inclusion policies.

Facial recognition is not allowed to track entries and attendance at the workplace

On March 28, the Data Protection Authority sanctioned several companies for using a facial recognition system to monitor entries and attendance. The companies had justified the use of the system to combat absenteeism and manage overtime requests, claiming that the system was GDPR-compliant according to the provider. However, the Authority found that the processing of biometric data for attendance tracking violated several data protection regulations.