Last Updated on March 11, 2024
Decree Law no. 19 of 2 March 2024 on “Further urgent provisions for implementation of the National Recovery and Resilience Plan” has been published in the Official Gazette. Known as the NRRP 4 Decree, it also includes provisions regarding workers’ health and safety and the legal compliance of labour relations.
Below is a summary of the main provisions.
Incentives and Rewards
Requirements to obtain legal – and social security contribution – related benefits have been extended to expressly include compliance with the rules governing the protection of working conditions and the health and safety of workers. A Ministerial Decree shall identify the relevant provisions. It is also specified that incentives are recognised also in the event of the subsequent regularisation of ascertained violations.
Again with a view to rewarding virtuous companies, the Decree stipulates that, if inspections reveal no violations and/or non-compliances in management of labour relations, the INL (National Labour Inspectorate) will present the employer with a certificate and, subject to the latter’s prior consent, will add the company to a list on the INL website that can be consulted publicly, the so-called compliance list. Holders of this certificate will be exempt from audits by inspectors for 12 months regarding the areas covered by the previous audit, with the exception of health and safety.
Subcontracting
An obligation has been introduced for contractors and subcontractors to ensure that contract personnel receive an overall economic treatment not inferior to that provided for by the national and territorial collective agreements most widely applied in the sector and in the area, as identified by the activity covered by the contract.
In addition, the Decree specifies that the solidarity regime, pursuant to article 29, paragraph 2 of Legislative Decree 276/2003, in force between the client, contractor (and subcontractor) with respect to salary and social security contribution obligations towards contract personnel, also applies in cases of unlawful supply, contracting and secondment.
Criminal sanctions for procurement offences
The Decree intervenes widely and specifically on the sanctioning structure in the case of unlawful supply, contracting and secondment. In these cases, criminal sanctions have in fact been reintroduced and/or reinforced: agency and user will now be punished with up to one month in prison or a €60 fine for each worker employed and for each day of work.
In the event of fraudulence, namely when it is found that the staff leasing is carried out for the specific purpose of circumventing mandatory legal obligations or collective agreements, agency and user will be liable to a maximum of three months in prison or a €100 fine for each worker involved and for each day of use.
Illegally exercising personnel search and selection activities and professional outplacement support will also incur criminal sanctions and an increase in the relative fines. Criminal sanctions already in force for unauthorised intermediation activities as well as exploitation of minors are also confirmed.
Another innovative aspect is the increase in fines in the case of recidivism. If, in fact, the employer has already received sanctions for the same offences in the previous three years, these will be increased by 20%, it being understood that the relative amount may not be less than €5,000 or more than €50,000.
These rules are much stricter than what was previously envisaged if we consider that, even for the more serious offence of fraudulent staff leasing, repealed Article 38-bis of Legislative Decree 81/2015 provided for application of a fine of just €20.
Undeclared work
The administrative fine (so-called maxi-fine) for undeclared work or work performed without prior notice of employment by the employer has increased. The relevant amount will depend on the duration of the offence as detailed below, in the case of a worker employed for:
- up to 30 days, between €1,950 and €11,700;
- up to 60 days, between €3,900 and €23,400;
- over 60 days, between €7,800 and €46,800.
The above sums will increase in the event of a repeated offence.
Construction Work
A number of specific rules have been introduced for public and private contracts for construction work, including the establishment of a points-based qualification system for companies and the self-employed working in temporary or mobile construction sites, the so-called points licence. As of 1 October 2024, the INL (National Labour Inspectorate) will issue to each person concerned a licence with an initial score of 30 points that can be deducted depending on the seriousness of the violations committed and the accidents suffered by workers employed on site. Should they drop to below 15 points, companies and workers will no longer be authorised to work and, should they proceed to do so without their licence or this minimum score, they will be subject to payment of an administrative fine ranging from €6,000 to €12,000.
The Decree expressly stipulates that the points licence mechanism may be extended to other areas of activity identified by a special Ministerial Decree.
Sanctions for failure to pay social security contributions
With a view to facilitating and incentivising businesses to regularise any failures to pay social security contributions, the measure modifies, as of 1 September 2024, the sanction system for social security violations under Article 116, paragraph 8, of Law no. 388/2000. In this sense, in the hypothesis of both omission and social security contribution evasion, should the payment of social security contributions be made spontaneously, less severe civil sanctions will be applied than those normally incurred. In those cases where non-payment or delayed payment of social security contributions is the result of objective uncertainties caused by conflicting legal or administrative guidelines on the recurrence of the social security contribution obligation, only legal interest will be due.
In any event, the Decree stipulates that provisions setting out the application of sanctioning systems more favourable for the taxpayer are not affected.
Lastly, again with effect from 1 September 2024, in order to encourage the voluntary disclosure of violation of rules on social security contributions, forms of interaction between taxpayers and the INPS (the National Social Security Body) will be introduced, with the application of an even more favourable sanction system for the regularisation of non-compliances revealed by the exchange of said information.
Toffoletto de Luca Tamajo is at your disposal for any support or clarification you may need.
For further information: comunicazione@toffolettodeluca.it
