The Italian Court of Cassation, in its recent judgment no. 10802 of 21 April 2023, ruled once again on the timeliness of the communication of the dismissal, ruling that breach of the deadline established by the collective bargaining agreement for the adoption of the final provision of the disciplinary procedure may constitute a breach of the procedure referred to in Article 7 of the Italian Workers’ Charter (Statuto dei lavoratori).
This breach – where the sanction is a disciplinary dismissal – will result in the application of the protection provided for by Article 18, paragraph 6, Italian Law no. 300/70 (so-called ‘tutela indennitaria debole’ or reduced compensation), provided that the delay in communicating the dismissal is not significant and unjustified, on the basis that the principle of timeliness is one of substance and not just formality. These factors will be assessed by the trial judge on the facts.
The facts of the case
The procedural matter originates from the dismissal for just cause of which notice was given to an employee after the deadline set by the Poste Italiane CCNL applied to the employment relationship. The contractual provision established that ‘the communication of the ruling must be sent in writing to the worker within and no later than 30 days from the deadline for the presentation of the grounds, failing which the disciplinary procedure is considered to have been concluded’.
In the specific case, the company had sent the dismissal notice for the first time by registered letter within the terms set by the CCNL, but, having incorrectly indicated the recipient’s address, service was not considered to have been effected. Subsequently, the company, ten days after the deadline set by the CCNL, served the notice at the correct address through court officer.
As part of the trial on the merits, it was ascertained that the employee, several years earlier, had provided her residence address to the company’s human resources department, and asked to receive company communications at that address.
From these circumstances it was therefore ascertained that the sending by the Company of the first dismissal letter to an address that did not correspond to the one indicated by the employee could not be considered blameless.
Consequently, on the basis of the aforementioned provision of the collective agreement, the trial judges established that failure to comply with the deadline for sending the dismissal letter led to the closure of the disciplinary procedure, with consequent application of the reinstatement protection provided for by Article 18, paragraph 4, of Italian Law no. 300/1970.
The appeal to the Italian Court of Cassation and the decision taken by that Court
The company appealed to the Italian Court of Cassation against the decision taken by the Court of Appeal, putting forward two different grounds of appeal against the second instance judgment.
The first ground of appeal related to the alleged timeliness of the sending of the first dismissal letter, which should have been considered successful and knowledge of the contents of the document considered to have been received, despite the erroneous indication of the house number.
On a separate basis, the Company challenged the reinstatement ordered by the judges on the merits, noting that failure to comply with the final deadline certainly did not imply ‘in itself the rebuttal of the facts of which the worker has been accused nor the presumption iuris et de iure of their positive evaluation by the employer nor the exercise of the disciplinary power by acquiescence, since the delay could well be exclusively attributable to a mere (albeit culpable) error’.
The Italian Court of Cassation rejected the first ground of appeal finding that the ineffective service was attributable exclusively to the company. The Court excluded the possibility that sending a notice of dismissal, which was ineffective for reasons attributable to the employer, could not have an effect on the right being time-barred.
With regard to the second ground of appeal, the Italian Court of Cassation recalled judgment no. 30985/2017 of the Joint Divisions, regarding the principle of timeliness that characterises the disciplinary procedure and the sanctioning consequences in the regime under Italian Law no. 92/2012.
In that case the Joint Divisions noted a conceptual distinction between the ‘breach of rules governing the methods of carrying out the entire procedure in its various phases and the breach of the general substantive principle of the timeliness of the challenge when it takes the form of a significant and unjustified delay’.
In the specific case, the Italian Court of Cassation ruled that the decision taken by the Court of Appeal conflicted with the principles established by the Joint Divisions, according to which failure to comply with the terms set by the collective agreement for service of the letter of dismissal constitutes a procedural breach and gives rise to the sanction of compensation under Article 18, paragraph 6. The court held that greater protection for the employee can only be granted in the event of a significant and unjustified delay in the notice of dismissal, in common with the disciplinary charges, capable of infringing not only the formal but also the substantive principle of timeliness.
In conclusion, in accepting the appeal filed by the Company, the Italian Court of Cassation quashed the appealed judgment, referring the case to the Court of Appeal sitting with a different composition for the re-examination of the specific case in the light of the principle of law provided by the Court of Cassation judges.
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