Compliantly hire your distributed team members in
Italy
To hire new employees in
Italy
, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.
Borderless handles all of that for you, so you can focus on getting to work with your new team member in
Italy
while staying fully compliant with local laws and compliance.
Italian
Euro (€, EUR)
Monthly
12 days
27% to 28%
61.33
4 weeks
Up to 180 days
5 months
In many countries like
Italy
, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.
There is no statutory minimum wage in Italy, but national collective bargaining agreements set minimum wages on a sector-by-sector basis.
Working hours are typically 8 hours per day, 40 hours per week. Monday through Friday is the standard workweek.
Overtime pay is required. Overtime is defined as hours worked outside of normal working hours. Overtime is limited to 250 hours per year for employees. Employees are compensated for extra hours worked as follows:
Overtime pay is not available to managerial employees.
It should be noted that in Italy, collective agreements usually determine whether these additional salary payments are required. Many collective bargaining agreements require one or both of the 13th and 14th month wages.
The 13th month's salary is paid around the middle of December, and the 14th month's salary is paid around the middle of June.
For all Borderless customers, salaries are monthly based, for work between the first and last day of the month, as well as an additional 13th and 14th month payment.
Employers in Italy can generally terminate an employment contract in the following ways:
Notice periods are decided on and governed by collective bargaining agreement.
In Italy, the mandatory probationary period is 45-60 days for employees who are not assigned to management functions and six months for all other employees. The applicable probation period is usually specified in the employer's national collective bargaining agreement.
In Italy, there is no such thing as severance pay or redundancy pay. However, if the employment relationship is terminated, the employee receives the so-called TFR (Trattamento di Fine Rapporto), which is a portion of workers' wages that is deferred upon termination of the employment relationship.
As a result, it cannot be considered proper severance pay because it is made up of a set amount of salary set aside each month.
The TFR is calculated by dividing a year's total salary by 13.5, plus 1.5% for each year of service, plus inflation compensation.
The TFR must be paid to the employee in the event that the employment relationship is terminated.
When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:
Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.
