Dignity Decree 2.0

In the past few days, the so called Dignity Decree (Law Decree 87/2018), which came into force on 14 July, was not approved by the Finance and Labour Committees which, during the review session, approved several amendments. With specific reference to the fixed term contract, the new regulations would be applicable to contracts entered into after the effective date of the Decree, as well as renewals and prorogations after 31 October 2018 (the so-called transition clause). Moreover, the Parliamentary Committees have approved, during the review session, the amendment according to which, except a different use of the collective agreement applied by the user, the number of employees hired with fixed term contract or staff leasing fixed term contracts cannot exceed overall 30% of the number of employees with open-ended contract working for the employer. In addition, the Committees have resolved on the introduction of the so called fraudulent staff leasing that takes place whenever the use of staff leased has the purpose of avoiding mandatory laws or collective agreements. Finally, the Committees, with reference to the conciliation model established on art. 6 of the Law Decree 23/2015, has proposed to higher the parameters from a minimum of 3 to a maximum of 27 monthly salaries. Now it is to be seen if the Decree will undergo further amendments at the time of approval.