“Job positions, cuts to contributions are needed” (L’Economia – Il Corriere della Sera, 13 November 2017 – Vittorio De Luca)

The Jobs Act, with the measures it is composed of, including the one related to increased protection based on seniority of 2015 has further reduced the application field of real job protection and has included a compensation system which, at least in the intentions of the law, is certain and not discretionary”, confirmed Vittorio De Luca, Managing Partner of the De Luca & Partners law firm. “At present, the results are evident to everyone: a modern and competitive protection system, in line with that of the more industrialised countries and which has determined a very clear deflationary effect on employment related litigation”. The Ministry of Justice provided the figures related to litigation: employee lawsuits for dismissals have halved since 2012. “I do not agree with analysts who attribute direct effects on employment to the contract with increased protection based on seniority”, the lawyer added. Even if “it is true that this formula is playing a determinant role in transforming the current positive economic trend into an increase in employment. Moreover, this effect continues even following the significant reduction in incentives that had accompanied the introduction of the new protection system against unlawful dismissals. The reasons are certainly due to the greater possibility of the employer to predict the dismissal cost”. And the 2018 bonus for hiring young people? “Our laws should provide all the tools necessary for ensuring young people enter the job world as soon as possible”. The reduction of the contribution load would determine an additional development of the job market including by foreign investors, as well as “a higher remuneration for employees. The positive effect on the spending sector would be inevitable. All to the benefit of the country’s real economy”, concluded the lawyer.