First annotations on “Dignity Decree”.
The new decree law (the so-called “Dignity Decree”) contains, among other measures (of a fiscal nature, against gambling, etc.), some significant amendments to Legislative Decree no. 81/2015 relating to temporary contracts and administration.
The maximum duration of fixed-term contracts has been reduced from 36 to 24 months.
The temporary contract may also be set without any causation up to the maximum duration of 12 months, compared to the current 36 months. Any renewal or renewals, even if they occurred before the 12th month, must be justified by one of these three reasons:
• temporary and objective requirements, which are not part of the ordinary activities of the employer, as well as substitutes;
• requirements connected to temporary, significant and non-programmable increases in ordinary activities;
• requirements related to work and seasonal activities.
The number of extensions of temporary contracts has been reduced from 5 to 4, with an increase in the contributory cost of 0.5 percentage points for each renewal, starting from the first (in addition to the 1.4% increase charged to the employer introduced by law No. 92/2012).
The new regulation applies to both fixed-term contracts that will be set after the publication of the decree law in the Gazzetta Ufficiale (Government gazette )and those temporary contracts that already existed, but are renewed after the decree comes into force. For example, a company that has a contract worker with a fixed term of 12 months cannot renew the contract for a further 24 months if the renewal takes place by the decree already in force. Should the company still want to renew it, it must stipulate the reason for the first renewal, up to a maximum of 24 months.
The regulation of fixed-term administration and the new regulation of fixed-term contracts is in balance with all the problems that this may entail for the delivery agencies.
The penalty for unlawful dismissal referred to in Legislative Decree no. 23/2015 (therefore the regulations in force for dismissals of recruitments made from March 2015 onwards) has risen to a minimum of 4 to 6 months and a maximum of 24 to 36. (ADO)
