{"id":24902,"date":"2022-09-15T13:44:16","date_gmt":"2022-09-15T11:44:16","guid":{"rendered":"https:\/\/www.delucapartners.it\/news\/high-energy-prices-companies-risk-stopping-production-and-redundancies\/"},"modified":"2026-02-16T16:18:54","modified_gmt":"2026-02-16T15:18:54","slug":"high-energy-prices-companies-risk-stopping-production-and-redundancies","status":"publish","type":"post","link":"https:\/\/www.delucapartners.it\/en\/insights\/high-energy-prices-companies-risk-stopping-production-and-redundancies\/","title":{"rendered":"High energy prices, companies risk stopping production and redundancies (Economy Magazine, 14 September 2022 &#8211; Vittorio De Luca)"},"content":{"rendered":"\n<p><em>The latest Inps data show that this year&#8217;s use of the Extraordinary Redundancy Fund has increased by 45.65%. Widespread fears that this data will worsen rapidly, making appropriate government measures necessary.<\/em><\/p>\n\n\n\n<p>Rising <strong>energy costs<\/strong> and the difficulty in finding <strong>raw materials<\/strong> herald a <strong>tough autumn for Italian companies<\/strong>. Firms which are grappling with multiple critical factors such as the <strong>pandemic<\/strong> aftermath, record inflation, the sudden (hopefully temporary) disappearance of important markets such as <strong>Russia<\/strong> and <strong>Ukraine<\/strong> and a looming new recession.<\/p>\n\n\n\n<p>The risk is a general <strong>reduction and suspension of production <\/strong>&nbsp;(which may affect companies across the board and not only the &#8220;energy-intensive&#8221; sectors) with a surge of <strong>requests for redundancy payments<\/strong> by companies.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Redundancy Fund 2022, record surge<\/h2>\n\n\n\n<p>The latest <strong>Inps data (Monthly Report August 2022 &#8211; INPS Coordinamento Generale Statistico Attuariale (General Statistical Actuarial Coordination))<\/strong> on the redundancy fund are not reassuring. Between January and July of this year, <strong>recourse to the Extraordinary Redundancy Fund<\/strong>&nbsp;(which is the social safety net used for structural difficulties) increased by + 45.65% compared to the same period in 2021. This affected industry (+35.81%), construction (+34.88%) and commerce (+103.62%).<\/p>\n\n\n\n<p>The widespread fear is that the reported figures will worsen rapidly, which makes appropriate government measures necessary.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Orlando reform<\/h2>\n\n\n\n<p>Recently, the government intervened to link up with the <strong>Orlando Reform<\/strong> which has been in force since January by introducing<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>the&nbsp;<strong>\u201dEnergy Decree\u201d: <\/strong>i) This makes it possible for companies in difficulty (steel, wood, ceramics, automotive, agro-industry) to access the&nbsp;<strong>&#8220;exempted&#8221; Redundancy Fund<\/strong>, i.e., without having to pay an additional contribution (for Redundancy Fund equal to 9%, 12%, 15% depending on the subsidy); ii) extend the Redundancy Fund for the current year by 26 additional weeks, for companies that have already used social safety nets for up to 24 weeks in the mobile five-year period.<\/li><li>with the <strong>Decree of the Ministry of Labour and Social Policies, no.&nbsp; 67\/2022,<\/strong> the clarification of new reasons due to the <strong>market crisis<\/strong> and the <strong>shortage of raw materials<\/strong> resulting from the <strong>Ukrainian war<\/strong> and <strong>energy crisis<\/strong>.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Energy Decree bis, is the exempted Redundancy Fund back?<\/h2>\n\n\n\n<p>The <strong>exempted Redundancy Fund expired on 31 May<\/strong>, while the other two measures are set to expire at the end of 2022.<\/p>\n\n\n\n<p>The difficult task of the government will be to find solutions which work with those recently adopted within a Budget that leaves little room for manoeuvre to support businesses and workers against the effects of inflation, the energy crisis and the Russian-Ukrainian conflict.<\/p>\n\n\n\n<p>An encouraging sign is that the imminent <strong>Energy bis Decree <\/strong>, which is being prepared by the government, includes the <strong>reintroduction of the Redundancy Fund<\/strong> without additional contribution.<\/p>\n\n\n\n<p>Without suitable measures, companies would be forced to contain costs by proceeding with <strong>layoffs<\/strong>. This solution, however, would not be painless for the state coffers, as it would entail a <strong>&nbsp;NASPI increase <\/strong>&nbsp;cost, and come at a high <strong>social cost<\/strong>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The latest Inps data show that this year&#8217;s use of the Extraordinary Redundancy Fund has increased by 45.65%. Widespread fears that this data will worsen rapidly, making appropriate government measures necessary. Rising energy costs and the difficulty in finding raw materials herald a tough autumn for Italian companies. Firms which are grappling with multiple critical [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":24903,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[177,190,187,196,212],"tags":[1296],"class_list":{"0":"post-24902","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","6":"hentry","7":"category-insights","9":"category-interviews","10":"category-news","12":"tag-cassa-integrazione-en"},"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>High energy prices, companies risk stopping production and redundancies (Economy Magazine, 14 September 2022 - Vittorio De Luca) - De Luca &amp; Partners<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.delucapartners.it\/en\/wp-json\/wp\/v2\/posts\/24902\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"High energy prices, companies risk stopping production and redundancies (Economy Magazine, 14 September 2022 - Vittorio De Luca) - De Luca &amp; Partners\" \/>\n<meta property=\"og:description\" content=\"The latest Inps data show that this year&#8217;s use of the Extraordinary Redundancy Fund has increased by 45.65%. Widespread fears that this data will worsen rapidly, making appropriate government measures necessary. Rising energy costs and the difficulty in finding raw materials herald a tough autumn for Italian companies. Firms which are grappling with multiple critical [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.delucapartners.it\/en\/insights\/high-energy-prices-companies-risk-stopping-production-and-redundancies\/\" \/>\n<meta property=\"og:site_name\" content=\"De Luca &amp; Partners\" \/>\n<meta property=\"article:published_time\" content=\"2022-09-15T11:44:16+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-02-16T15:18:54+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.delucapartners.it\/wp-content\/uploads\/2026\/02\/lavoratori-shutterstock_311443724-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"801\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Melismelis\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Melismelis\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.delucapartners.it\\\/en\\\/insights\\\/high-energy-prices-companies-risk-stopping-production-and-redundancies\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.delucapartners.it\\\/en\\\/insights\\\/high-energy-prices-companies-risk-stopping-production-and-redundancies\\\/\"},\"author\":{\"name\":\"Melismelis\",\"@id\":\"https:\\\/\\\/www.delucapartners.it\\\/en\\\/#\\\/schema\\\/person\\\/00d0832a12e3889dce887a31e29d65f8\"},\"headline\":\"High energy prices, companies risk stopping production and redundancies (Economy Magazine, 14 September 2022 &#8211; 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