Good to know
In Italy, it is customary to have 13th and 14th salaries. The 13th salary is paid during the employee’s summer holiday, while the 14th salary is paid at Christmas.
Are you ready to hire in Italy?
Italy has a skilled workforce in various industries, including technology, fashion, automotive, and more. You can tap into this talent pool to find individuals with the specific skills and qualifications you need.
Italy attracts expatriates and students from around the world, so you may find candidates with diverse backgrounds, language skills, and global perspectives.
The country also earns high marks in various quality-of-life indicators, including life expectancy, healthcare, and education.
Want to know more?
Call us today at: +44 (0) 333 034 1068
Italy does not have a statutory national minimum wage applicable to all workers. Instead, minimum wages were set through collective bargaining agreements at the industry or sector level.
These agreements are negotiated between trade unions and employer associations. The minimum wage can vary depending on the specific industry, job category, and location.
Standard Working Hours
In Italy, the standard working hours are 8 hours per day and 40 hours per week. The standard work week is Monday – Friday.
Any work exceeding the standard 40-hour work week qualifies as overtime and is subject to regulation through employment contracts or collective agreements.
In Italy, the standard payroll cycle is monthly, with payments typically made on the 27th of each month. According to Italian law, salaries are usually paid in 12 monthly instalments.
Additionally, employees receive an extra 13th instalment (“tredicesima”) alongside their December salary. Some National Collective Agreements (NCAs) may also include a 14th monthly instalment, which is usually paid in June.
Paid time off
All employees are entitled to a minimum of four weeks paid annual leave.
In Italy, sick pay and time off are outlined in individual contracts and collective bargaining agreements. The provision of sick pay varies, with some portions covered by the Italian state and others by the employer. The specific amounts depend on the employee’s length of service and the sector of the business.
Female employees are granted a period of 5 months for paid maternity leave, typically taken from two months before the expected due date until three months after giving birth. However, if the nature of the employee’s work poses risks to her health or that of the unborn child, the maternity leave before the due date can commence earlier than two months. Alternatively, it can be postponed until after childbirth.
The father is entitled to receive 100.00% of the regular salary and compulsory paternity leave of 10 days within five months of the child’s birth.
Termination of Employment
Termination of employment in Italy requires proper justification, with notice provided according to the National Collective Agreement (NCA), unless it occurs through mutual agreement, due to the employee’s failure to meet work requirements, serious misconduct, or economic reasons.
If an employee feels they have been unfairly dismissed, they have the option to approach an employment tribunal. In such cases, severance pay can range from three to six months’ worth of the employee’s salary.
In Italy, the notice period varies depending on whether the termination is initiated by the employer or the employee. The length of the notice period is determined by the relevant National Collective Bargaining Agreement (NCBA), the duration of the employment, and the classification of the employee.
The length of the probationary period can vary depending on the industry, the job position, and the company’s policies. It is common for probationary periods to last anywhere from 1 to 6 months, with 3 months being a relatively standard duration.
Foreigners intending to work in Italy must obtain a work visa, a national visa, or a D-Visa, which permits entry into Italy within eight days of arrival. However, to remain in Italy, an additional authorization is necessary, known as a residence permit or “permesso di soggiorno.”.
The prospective employer is required to submit all visa applications through a Nulla Osta document at the Immigration Office (Sportello Unico d’Immigrazione – SUI) in the province where the company is located.
The Italian government issues a limited number of approved work permits and accepts work permit applications periodically, typically for a few months every one or two years, depending on Italy’s job market conditions at that time (referred to as “Decreto Flussi”).
The standard rate of VAT in Italy is 22.00%.