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Employee termination in Italy.

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Valid reasons to terminate employment in Italy

If the employee has not showed up for work, breaches the contract, or commits a serious violation, then these are legitimate reasons for termination of the employment contract.

Unfair reasons to terminate employment in Italy

In Italy, employers cannot terminate employment because of protected characteristics of the employee, like their ethnicity, gender, religion, and/or sexuality. In addition, you cannot terminate employment because an employee has become pregnant, ill, or disabled.

Dismissal procedure in Italy

If an employer wants to dismiss an employee in Italy, the employer must give 30 days’ notice. It is best practice to: (1) inform that employee of the issue or reasoning in writing; (2) conduct a meeting with the employee about the issue or reason; (3) inform the employee of the decision in writing after the meeting, and; (4) give 30 days’ dismissal notice at this time.

The writing can be done by email, and confirmation of receipt must be had.

Resignation procedure in Italy

In Italy employees should give 20-30 day’s notice before resigning. Resignation should be made in writing as well.

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Your business can easily hire employees in Italy without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.

FAQs

It is best practice to terminate employment in Italy for a justifiable reason. For example, if the employee has stopped showing up for work, has committed a serious violation of the business code of conduct, and/or has breached the employment contract, then these are valid reasons for termination. Sometimes in Italy employers and employees will reach a mutual agreement to terminate the employment contract as well.

So, it is not difficult to terminate employment in Italy as long as there is a reason or mutual agreement.

In Italy, a business can be fined for improperly terminating employment. Only terminating an employee for justifiable reasons or mutual agreement is the best way to mitigate this risk.

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