After numerous debates due to differences among the major political forces regarding whether to extend the current ban on collective and individual layoffs for objective justified reasons, the ban was upheld by Law Decree No. 73/2021 and ultimately by Law Decree No. 99/2021, but not for everyone.
OVERVIEW OF THE PROVISIONS
On May 25, 2021, the Italian government enacted what is known as the “Decreto Sostegni bis” (Law Decree No. 73/2021), which regulated the ban on layoffs as follows:
THE NEW PROVISIONS INTRODUCED BY LAW DECREE NO. 99/2021
Lastly, Law Decree No. 99/2021, issued on June 30, 2021, introduced two changes to the previous framework outlined by Law Decree No. 73/2021.
The first change consists of an additional 17 weeks of free (i.e., without additional employer contributions) Covid-related furlough schemes that can be requested during the period from July 1 through October 31, 2021, for companies in the textile and clothing sectors (Ateco codes 13, 14, and 15), which are considered still to be in crisis. These companies are therefore covered by the ban on layoffs through October 31, 2021.
The second change consists of 13 additional weeks of free furlough schemes, through December 31, 2021, for companies that can no longer benefit from the ordinary/extraordinary (“Cassa Integrazione Ordinaria”/“Cassa Integrazione Straordinaria”) schemes, with a consequent ban on layoffs during the use of those additional weeks.
It remains possible to lay off employees in certain specific scenarios. The exceptions to the ban on layoffs provided in previous legislation remain unaffected and are as follows: