Riforma Fornero in brief| Studio Legale Menichetti

Magazine

The Fornero labour reform (legislation no. 92/2012) is inspired by the intention to increase work flexibility, both entering and exiting.

Regarding incoming flexibility, it is noted that a motive will not be needed for the first fixed-term contract having a duration which does not exceed twelve months (extensions not permitted). The maximum duration of the fixed-term contracts, counting also the fixed-term administration contracts, remains at thirty-six months, with a 30-day tolerance for contracts up to six months and 50 days for those with longer durations. The term resumption is permitted after 60 days for contracts with a duration of no longer than six months and after 90 days for contracts lasting longer than six months.

But there are more restrictive regulations for the new co.co.co contract, as the subordinate contract will be presumed in every case in which the activities carried out are performed in a way similar to those of third-party personnel. The co.co.pro contract, must further contain a specific proposal (not simply the company's third-party purpose activity nor the mere indication of executive or repetitive performance) with indication – and this is the real development – of also the final result to be achieved. The compensations of the co.co.co workers cannot be lower than the forecasted minimums for similar activities by the collective agreements.

Exit flexibility. From July 18th, the communication of dismissal must always contain the communication of the motives, the relevant extrajudicial appeal needs to be made within 60 days and the judicial appeal within 180 days of the extrajudicial appeal.

A special procedure is introduced, with a first phase of urgent protection and a second phase (contingent) of merit rooted with the exception to the previous decision (in acceptance or rejection).

Dismissal for actual justified reason (what the press would call "economic dismissal") needs to be preceded by a notice to the Territorial Labour Department, that which, in the proceeding seven days, summons the employer and employee for a conciliation procedure, which must conclude within 20 days of the summoning.

In accordance with the new article 18, as reformed by the law in question, the economic dismissal (for actual just motives), challenge the terms above, can be sanctioned with reintegration (to which a compensation not exceeding twelve months is added, with deduction of aliunde perceptum and aliunde percipiendum) only if the judge verifies "manifestly unfounded" the situation at the base of the dismissal.

Even for dismissal for just cause and subjective just motives, reintegration is not always allowed, provided only (with the limited compensation as above) if the disputed facts are non-existent or the employee has not committed them, or the circumstance is punishable by a conservative sanction from the collective agreement.

Reintegration is still permitted in the case of collective dismissal imposed violating the selection criteria (with always a maximum compensation of 12 monthly payments), for dismissal without the written form and for discriminatory dismissal. These last two dismissals, in accordance with the new clause of article 18, are also sanctioned with a compensation no less than 5 monthly payments (aliunde perceptum and aliunde percipendum deducted) and with the possibility to opt for 15 monthly payments).

Compensation is only provided (without reintegration in the other cases of unjust dismissal: dismissal for actual just motive not manifestly unfounded, collective withdrawal with respect to the union procedure, disciplinary dismissal imposed without compliance with the law, dismissal imposed without motive, dismissal lacking just cause for the offences committed by the employee but not so serious and not established in the collective agreement).

Compensation, in accordance with the new fifth clause of article 18, normally varies between 12 and 24 monthly payments of the overall salary, taking into account the seniority of the dismissed employee, the number of employees and the dimensions of the economic activity, and the behaviour and conditions of the parties. The same compensation varies between six and twelve monthly payments in the case of ineffective dismissal for merely formal or procedural violation (lack of motive, violation of the disciplinary procedure or of the new economic dismissals procedure).

The rules of law relating to the consequences of illegitimate dismissal apply to all employers regardless of the number of employees, for oral dismissals or of discriminatory character. For the other withdrawals (for justified motives subjective or objective, or for just cause) they are applied only to employers with more than 60 employees, or with more than 15 employees in the production unit where the dismissal is concerned or in the relevant municipality (5 for agricultural employers).

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