News August News
- Studio Piceci
- August 25, 2020
- Reading time: 10 min
This document outlines the main changes in labor law introduced by the so-called August Decree (Decree Law No. 104/2020), which came into force on August 15, 2020, as the latest measure adopted by the Government to deal with the Covid-19 emergency.
In examining the new regulations on social safety nets during employment, part of the provisions introduced by the Cura Italia Decree and the Relaunch Decreeare reviewed to provide a summary of the emergency measures to support businesses and workers (a summary table is also provided).
In addition to the main topic of social safety nets, other new measures introduced by the August Decree will be discussed, such as: exemption from social security contributions for companies that do not request wage supplementation benefits, contribution relief for employment, the regulation of fixed-term contracts, the extension of the ban on dismissals, the further installment payment of suspended contributions, and the doubling of the limit for corporate welfare in 2020.
Ordinary redundancy fund, ordinary allowance, and exceptional redundancy fund
D. Cura Italia → Articles 19 to 22-quinquies, Decree Law No. 18/2020 converted into Law No. 27/2020
This decree introduced three types of wage supplementation to address the same extraordinary event, lasting 9 weeks: CIGO, the ordinary allowance, and the exceptional fund.
Questions regarding ordinary redundancy fund and ordinary allowance, submitted to INPS, have required prior information, consultation, and possibly joint examination with the trade unions that are comparatively more representative at the national level.
When the decree is converted into law, it will be possible to apply for ordinary supplementary benefits for an additional period not exceeding three months. three months, to employers with production units located in the so-called red zone, specifically:
with production units located in municipalities identified in Annex 1 of the Prime Ministerial Decree of March 1, 2020;
NOT EVEN for those
that do not have their registered office or production or operating unit in the aforementioned municipalities, limited to employees residing or domiciled in the aforementioned municipalities.
The question regarding exceptional redundancy fund, submitted to the Regions, on the other hand, required prior agreement with the trade unions that are comparatively more representative at the national level for employers with more than five employees.
For companies with multiple locations (companies with units in at least 5 regions or autonomous provinces), the application followed a simplified procedure by submitting it to the Ministry of Labor and Social Policies.
When the decree is converted into law, the possibility will be granted, as provided for ordinary redundancy payments and ordinary allowances, to apply for the benefit for an additional period not exceeding three months, to employers with units or workers located in red municipalities. additional period not exceeding three months, to employers with units or workers located in red municipalities.
Similarly, employers with production units—or in any case for their employees who are resident or domiciled—in the regions of Lombardy, Veneto, and Emilia-Romagna (the so-called yellow zone), are granted exceptional wage supplementation for an additional period not exceeding four weeks, which can be authorized with the same concession measure.