From 48 collective agreements to a single agreement for all sectors. Plus social safety nets. These are the pillars of the new labor reform at the study of Elsa Fornero, Minister of Welfare. The official negotiation between the Government and the social partners will only begin on Monday, but it seems that a basic agreement has already been reached with the trade unions and entrepreneurs, after the strong tensions in recent weeks. At the basis of the new agreement, anticipated today by La Repubblica, is the provision suggested two years ago by economists Tito Boeri and Pietro Garibaldi. The text should be launched in February and not by decree, but with a simple bill, or a delegated bill.
Let's see what the fundamental points of the measure should be:
SINGLE ENTRY AGREEMENT
The new contract will be called Cui (single entry contract) and will be divided into two phases: the first entry phase, which may last up to three years and will guarantee the possibility of being fired, but in this case the worker will be entitled to a compensation; in the second phase, however, all the protections that today are reserved for permanent contracts will take over. The transition from precariousness to stability should happen automatically. It remains to be seen how many companies will be willing to wait beyond the three-year threshold.
FIXED TIME, TEMPORARY ONLY ABOVE 25 THOUSAND EUROS A YEAR
Fixed-term contracts can only be applied to professionals and specialized personnel. This will imply a minimum salary ceiling: 25 euros gross per year. Seasonal workers will be an exception. There will also be a ceiling for project contracts and continuous self-employment contracts which represent more than two thirds of the income of a worker with the same company: under 30 euros per year, they will automatically turn into Cui. In agreement with the social partners, a legal minimum wage will also be established.
SOCIAL DAMPERS: HERE IS THE MINIMUM INCOME
The minimum unemployment income is coming, which will be used in structural crises. The ordinary redundancy fund will be used only in cyclical and temporary crises. But it won't be that easy: there is the problem of financial coverage. The transition from mobility to the unemployment minimum income will probably take place gradually. It is also thought to establish a minimum wage guaranteed by law also in favor of precarious workers, who currently do not enjoy any protection in this sense.
