28 Nov 2018

DO YOU KNOW THAT… the operative part of the judgment ruling that “increasing severance indemnity” is constitutionally unlawful has now been issued?

In the operative part of judgment 194/2018 issued on 8 November 2018, the Constitutional Court has ruled that art. 3, paragraph 1, of Legislative Decree 23/2015 (governing open-ended employment contracts with increasing protections) is constitutionally unlawful when it links the amount of severance indemnity (for that part not modified by the Dignity Decree) payable to an employee who is dismissed without cause only to that employee’s length of service. According to the Constitutional Court, this method of quantification “implies” that severance indemnity is rigid, having the characteristics of a “standardised, flat rate legal severance payment”. In particular, for the Constitutional Court, the provision in question is contrary to the principles of equality and reasonableness and in conflict with employment laws and protections. The Constitutional Court takes the view that the court must be able to determine the indemnity payable to an employee – within the limits of its own discretionary powers and in accordance with the minimum limit of 6 monthly salaries (previously 4) and the maximum limit of 36 monthly salaries (previously 24) – taking into account not only the employee’s length of service but also on the basis of other criteria which can be “systematically inferred from developments in the restrictive provisions governing dismissals (number of people employed, size of the company’s economic activity, behaviour and situation of the parties)”.

Subscribe to our newsletter

Contact

Need information? Write to us and our team of experts will respond as soon as possible.

Fill in the form

More news and insights

6 Feb 2026

Pay equity and transparency: draft implementing decree presented

Italy is among the first Member States to have adopted the draft implementing legislative decree of EU Directive 2023/970, which yesterday received its initial approval from the Council…

30 Jan 2026

A conviction for stalking can justify dismissal for just cause

With Ordinance No. 32952 of 17 December 2025, the Italian Supreme Court, Labour Section, ruled that a final conviction for stalking and abuse can justify dismissal for just…

30 Jan 2026

We continue to be a Great Place to Work!

For the third consecutive year, De Luca & Partners has been awarded the prestigious Great Place to Work® certification, a significant recognition of the value we place on…

29 Jan 2026

Italian Supreme Court: Employer Monitoring and the Use of Corporate Chats for Disciplinary Purposes

Corporate chats “intended for work-related communications by employees accessing them through company accounts constitute work tools, pursuant to Article 4, paragraph 2, of Law No. 300 of 1970,…

28 Jan 2026

Anti-union conduct: the Supreme Court moves beyond formalism and focuses on substance

With order no. 789 of 14 January 2026, the Italian Supreme Court addressed the issue of anti-union conduct by employers in relation to information and consultation obligations on…

27 Jan 2026

DID YOU KNOW THAT… the use of artificial intelligence may justify a dismissal for objective justified reason?

With Judgment No. 9135 of November 19, 2025, the Labour Section of the Court of Rome held that the dismissal for objective justified reason (i.e. “giustificato motivo oggettivo”,…