Overview

Capital
Rome
Currency
Euro (€) (EUR)
Date Format
dd/mm/yyyy

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Taxes

Employer
Up to 32% - Social Security
Employee
Up to 10.48% - Social Security
0.00% - Up to 15,000
27.00% - 15,000 - 28,000
38.00% - 28,000 - 55,000
41.00% - 55,000 - 75,000
43.00% - Over 75,000

Minimum Wage

General

There is no mandatory minimum wage in Italy, wages are fixed by nationwide collective bargaining agreements. 

Working Hours

General

A full work week in Italy is 40 hours, or 8 hours a day.

Overtime

Overtime is limited to 2 hours a day and must be approved by the company. 

There is no set overtime pay, however, overtime pay must be more than the regular rate. 

VAT

General

22% standard rate.

Payment

Payroll Frequency

Salaries are paid on monthly basis for work between the first and last day of the month. Paydays are the 27th of the month. 13th and 14th bonus (after performance review) salaries are common.

Mandatory Benefits

Pension Fund

Quadri & Impiegati Employees have the possibility to join the complementary pension fund Fon.te. The optional employee contribution of 0,55% will be matched by an additional employer contribution of 1,55%. Dirigenti (Managers) the NCA grants private pension benefits through the funds Mario Negri

Social Security

Employers contribute 29%-32% of workers wages, and employees contribute 9.19% - 10.48% of their salary. Contributions are used towards funds for unemployment, sickness, maternity, temporary employment compensation, social mobility and other minor funds.

Termination

Termination Process

Notice periods are decided upon in the collective agreement - however are dependent on the cause for termination. 1. Dismissal at will: for open ended contracts, employers are not obligated to provide motivation, however, notice must be given as detailed in the agreement. 2. Dissmisal for just cause: for extreme breaches and damages to the bond of trust. No notice needed. 3. Dismissal for jutifiable reason: - Subjective: employee is not fulfilling contractual obligations - notice is not required - Objective: justified by production activity, organization of work and its proper functioning.

Advance Notice

Employees resignation notice period is decided in the collective agreement.

Severance Pay

A month of salary for each year worked at the company plus unused vacation days.