"With the dignity decree comes the Waterloo of precariousness". With these words, Deputy Prime Minister Luigi Di Maio presented the first provision of the new government, launched on Monday evening by the Council of Ministers. There are three guidelines for the measure: tightening on precariousness to overcome the Jobs Act, fight against relocation and stop advertising for gambling. At a political level, it is a clearly M5S-style measure, which in the end even the League approved despite some perplexities about the news relating to fixed-term contracts, which companies do not like.
Here are the main contents of the Dignity Decree.
WORK
- Permanent contracts: the compensation for workers dismissed without just cause goes from a maximum of 24 months to a maximum of 36 months.
- Term contracts: the maximum limit for renewals with reason is reduced from 36 to 24 months and for each renewal starting from the second there is a 0,5% increase in the additional contribution (currently equal to 1,4% of the taxable salary at welfare purposes). Possible extensions reduced from 5 to 4.
- Reasons for fixed-term contracts are back. For contracts longer than 12 months or from the first renewal onwards, three categories of reasons arrive: temporary and objective needs connected to temporary, significant and non-programmable increases, or relating to peaks in seasonal activity. The new rules also apply to fixed-term temporary contracts (those with permanent temporary contracts are not cancelled, as envisaged in the first drafts). Instead, the count of this last type is skipped within the limits of 20% envisaged to limit hiring complete.
- Employment protection with state aid. In the event of the granting of state aid, the benefits are revoked in whole or in part to the companies that cut jobs in the following 5 years.
RELOCATIONS
- Companies that receive public aid and then relocate their activities before 5 years have passed from the end of the subsidized investments will receive penalties of 2 to 4 times the benefit received, which will also have to be repaid with interest increased up to 5 percentage points. The recovery of hyper-depreciation in the event of relocation or sale of investments is also envisaged.
GAMBLE
- Stop gambling advertising. From 2019 the ban will also apply to sponsorships and "all forms of communication", including "visual and acoustic citations and the superimposition of the name, brand, symbols". Anyone who does not comply with the prohibition will be punished with a fine of 5% of the value of the sponsorship or advertising, in any case not less than 50 thousand euros. Proceeds will go to the anti-gambling fund. Penalties ranging from 100 thousand to 500 thousand euros remain for those who violate the ban during shows dedicated to minors. Lotteries with deferred draws, such as the Lotteria Italia, and existing contracts are excluded from the ban on advertising.
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OTHER SIZES
- Extension for teachers with a master's degree. The layoffs imposed by the sentence of the Council of State postponed by 120 days, "so that we have time to solve the problem", explains Di Maio.
- split payment abolished for professionals.
- The Spesometer "Now it provides for only one fulfillment per year", explains Di Maio.
- Redditometer: stop to checks from 2016. The instrument is not abolished the current version of the ministerial decree relating to the "income meter" no longer finds application in relation to the checks that still have to be carried out on the 2016 and subsequent tax periods. The MEF is about to issue a new ministerial decree.
THE RIDERS
For the moment, the question of the riders has no place in the provision. Di Maio intends to continue along the path of consultation with companies, but if the discussion table does not achieve the objective, the rule will be included in the Dignity decree within 60 days for the conversion of the decree itself. "I'm very happy with how this table went, it's only the beginning but it wasn't obvious", underlined Di Maio, adding that he "found a great contribution from everyone". According to the minister, it is possible "to arrive at a futuristic contract".
COMMENTS
Tough comment by Confindustria, according to which "the result will be to have less work, no less precariousness" and "he is also concerned that it is the companies that pay the price for an interminable electoral race within the majority and that the conditions are created for dividing the actors of the labor market, with the risk of re-proposing old conflicts”.
Of the opposite sign, obviously the opinion of the Premier, Giuseppe Conte, who stated during the press conference at Palazzo Chigi: "I am particularly pleased as president of this government that the first decree approved in the social field is on the recovery of the dignity of workers and businesses".
Responding to a question from a journalist on some of the MEF's number one statements, the Prime Minister reassured: “You are talking about statements by the Minister of Economy that have just been released which are not known to me. Look, it's not the Economy Minister who takes care to keep the accounts in order, it's me and all the ministers who take care to keep the accounts in order, of course”.
"Obviously this government is not at odds with the business world," the deputy premier pointed out Luigi Di Maio - indeed we will also adopt measures to promote economic growth, we want a healthy alliance with the world of work and business but we want to counter unjustified initiatives" such as those who leave after having benefited from public aid.
“The dignity decree – continued Di Maio – is based on three concepts: let's deal a mortal blow to precariousness by dismissing the Jobs Act; let's deal a fatal blow to the most insidious part of the bureaucracy, so they will tell us that we want to favor tax evaders when we want to favor honest citizens; we are the first country in the EU to stop gambling and say no to the multinationals who come here, take money and relocate”.
