ITALY Law and Practice Contributed by: Angelo Zambelli, Barbara Grasselli and Alberto Testi, Zambelli & Partners
Zambelli & Partners Via San Damiano 9 20122 Milan Italy
Tel: +39 020 203 0830 Fax: +39 020 203 0812
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1. Employment Terms 1.1 Employee Status The main distinction between blue-collar and white- collar workers is as follows: • blue-collar workers ( operai ) collaborate with the employer by performing tasks that are primar - ily related to the company’s production process. Examples include factory workers and manual labourers; and • white-collar workers perform organisational/admin - istrative functions (eg, office employees, clerks). Article 2095 of the Italian Civil Code introduces two additional categories of employees. • Quadri This category is intermediate between “ • dirigenti ” (executives) and “ • impiegati ” (middle managers). They consistently perform functions of significant importance for the growth of the company and the achievement of its targets. • Dirigenti This represents the highest category of employee. As defined by collective agreements, they possess a high degree of professionalism, autonomy and decision-making authority. Their activities are directed towards promoting, co- ordinating and managing the achievement of the company’s targets. 1.2 Employment Contracts The standard employment contract form in Italy is the open-ended or permanent contract. However, Italian
legislation allows employers to enter into fixed-term agreements under certain conditions. According to Articles 19–29 of Legislative Decree No 81 of 15 June 2015, as subsequently amended, a fixed-term contract can be freely executed (ie, without any specific reason) only if the duration does not exceed 12 months. For contracts exceeding 12 months (in any case, up to a maximum of 24 months), at least one of the following must apply: • (i) conditions established by national/territorial/ company-level collective bargaining agreements; • (ii) in the absence of the provisions referred to in (i), and in any case only for contracts executed not later than 31 December 2026, technical, organi - sational or productive reasons identified by the parties; or • (iii) reasons related to the replacement of other employees. The main rules of the fixed-term contract can be sum - marised as follows. • The original term can be freely extended and the contract renewed in the first 12 months and, subsequently, only if the conditions listed above are met. If those conditions are not fulfilled, the contract will automatically become a permanent contract. • The original term can be extended up to four times within the 24-month maximum duration. Should the number of extensions be higher, the contract is transformed into a permanent contract from the effective date of the fifth extension.
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