The Dignity Decree, the first provision of the new government, arrives tonight in the Council of Ministers. The original text was divided into three fronts: the fight against precariousness and relocation, tax simplification for businesses (in particular on the expense meter, income meter and split payment) and the tightening on gambling.
The go-ahead for the decree was expected last week, but the lack of financial backing and the political differences between the Lega and the 5 Star Movement on some measures forced the postponement. And, as the days went by, the measure started to fall apart.
TREASURY
The fiscal part, the most problematic from the point of view of coverage, risks being eliminated. Treasury technicians, however, are looking for coverage to correct the split payment: in the government's plans there is a farewell which, if limited to the professional audience, would have an impact of several tens of millions, while it would be very costly if it were extended to all suppliers. Adjustments to the income meter are also being studied, given the limited use of the instrument, and a postponement of the cumulative sending of the spending meter data to 28 February (the next deadline would be September).
WORK
As for the sting on precarious contracts, it promises to be less serious than expected, because it would be to the detriment of the entrepreneurs of the North so dear to Matteo Salvini. And so the abolition of open-ended administration contracts risks skipping and being referred to Parliament together with the vouchers, an issue dear to the Northern League.
"The theme of administration in many cases lends itself to dysfunctions, however it must be the subject of parliamentary debate, one cannot intervene with a decree - announced the Minister of Labor, Luigi Di Maio - in the dignity decree today there is no issue of administration for the same reason that we are asking Parliament for all this matter, as well as many others such as vouchers. There are many issues that in my opinion can be addressed by first of all making a comparison with those directly involved and understanding where there are abuses and where instead they are useful".
The announced rules on riders have also been lost along the way: difficult to find a compromise that does not infuriate companies.
On the front of the close to precariousness, the limit of renewals of fixed-term contracts over a 36-month period drops from five to four and the reasons for the first renewal are reintroduced without providing for any transitional period. The fixed-term employment contract cannot exceed 12 months in the absence of a reason. With the indication of the reasons, already from the first contract it will be possible to apply a term of up to 36 months, for temporary and objective needs, extraneous to the ordinary activity of the employer, as well as substitutes. Or connected to temporary, significant and non-programmable increases in activity.
The tightening on relocations confirmed: all companies that benefit from state aid and then choose to relocate their activities abroad, taking advantage of more favorable conditions, will lose the benefit - which will have to be repaid with interest increased by up to five percentage points - and will face fines from 2 to 4 times the contribution they received. In the drafts circulated, the constraint is extended to operations that also take place within the EU.
GAMBLE
Di Maio assured that there will not be "a step backwards" on the ban on any form of advertising, even indirect, of games or bets with cash prizes. From 2019, the ban will also cover sponsorships of events, activities and demonstrations or of programmes, products or services. One of the latest changes is expected to waive the advertising ban for national time-limited lotteries.
