Factsheet for measure
IT-2020-33/1196
– measures in Italy
Reduction of social security contributions for affected companies
Esonero dal versamento dei contributi previdenziali
Background information
Law Decree No. 104 of 14 August 2020 envisages several temporary and permanent measures to reduce social security contributions in charge of employers (art. 3, 6 and 27) in order to support them to face the socio-economic consequences of the COVID-19 pandemic, and to retain or possibly expand employment.
Content of measure
The Law Decree introduced various temporary and selective measures to reduce employer social security contributions. A total exception is granted to:
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Companies which relied on the
COVID-19 wage guarantee fund
in the months of May and June 2020 and do not further benefit of the fund. The reduction is granted for a maximum of four months and until 31 December 2020, and the amount granted is equal to an amount of hours double the hours of wage guarantee fund used;
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Companies activating permanent contracts by 31 December 2020 (both in the case of a new hire and in the case of transformation of a previous fixed-term contract). The reduction is granted for a maximum of six months.
A reduction of up to 30% of the social security contributions due for companies located in economically disadvantaged areas.
Use of measure
No information available.
Target groups
|
Workers
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Businesses
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Citizens
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Does not apply to workers
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Applies to all businesses
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Does not apply to citizens
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Actors and funding
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Actors
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Funding
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National government
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National funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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|
Role
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Consulted
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Consulted
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|
Form
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Any other form of consultation, institutionalised (as stable working groups or committees) or informal
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Any other form of consultation, institutionalised (as stable working groups or committees) or informal
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Social partners' role in the
implementation, monitoring and assessment phase:
-
No involvement
-
Main level of involvement: N/A
Involvement
The measure was set unilaterally by the government, but social partners were heard by the Labour Ministry.
Views and reactions
The trade unions, and particularly CGIL, were rather sceptical to measures aiming at reducing business contributions, as they are considered unconditional not able to positively influence business behaviour.
Sources
