ITALY PEO & EOR
Hire in Italy without
a local entity today
As a Global PEO & EOR service provider, we pride ourselves on our global reach, in-country knowledge, and ability to swiftly and efficiently mobilize workers around the world. Our robust PEO/EOR covers everything from global HR, payroll, compliance, in-country support, immigration, visas, and more.
Get started and hire in Italy today with Gibson Watts Global.
DID YOU KNOW
- Italy is the eighth largest economy in the world and third largest in Europe
- Its location at the heart of the Mediterranean Sea make it perfectly placed for accessing consumers in the EU, Northern Africa and the Middle East
- As a member of the EU, businesses in Italy have duty-free access to over 50 million customers that spread all around EU members
- The Italian Trade Agency offers business set-up support, and ongoing after-care for incentives and contracts to attract foreign investors
Forget software,
this is expansion
with a human touch
Italy PEO Services
One of the largest manufacturing countries in Europe
Alongside its reputation for unrivalled food, art and a fascinating history, the country offers an attractive economy to do business. Italy is one of the largest manufacturing countries in Europe, and hosts a highly educated, innovative and talented workforce.
With an established R&D infrastructure and pro-investment culture, the country is perfect for growing businesses. The country spends 25 billion euros per year on research and development. This makes it the fourth highest country to invest in R&D in Europe.
High quality design production is what the Italians are renowned for, so you will have no problem finding an expert in several sectors including fashion, food, pharmaceuticals and automotive.
Gibson Watts Global’s PEO and Employer of Record (EOR) services can put your business into the Italian market quickly and cost-effectively.
Working in Italy
Employment Information
The basic rights of employees are laid out in the Italian Constitution and the Civil Code. There is no central employment law, but there are a variety of laws addressing various aspects of the employment relationship.
As a member of the European Union, Italy has agreed to comply with various labor standards shared by all EU countries. For example, the EU 1993 working time directive requires member countries to guarantee paid annual leave of at least four weeks to every worker. A 2003 legislative decree that includes provisions on work hours and leave brought Italian law into compliance with the directive.
Most Italian employees are covered by collective labor agreements. These agreements, often negotiated between unions and employers’ associations on an industrywide basis, generally provide greater benefits than the minimum required by Italian law.
Compensation
Working Hours
There are typically 40 hours of work per week, not to exceed 48 hours, including overtime, in any seven- day period within an averaging period of several months (as many as 12 months in some cases).
Employees are entitled to rest periods of at least 10 minutes after working six consecutive hours, of at least 11 consecutive hours in every 24 and 24 consecutive hours every seven days, typically Sunday.
Minors are guaranteed at least two days of rest per week, preferably consecutive and including Sunday.
Minimum Wage
Italian law does not specify a minimum wage. Wages are usually set by collective labor agreements.
Overtime
Work done in excess of 40 hours in a week is considered overtime and is generally paid at a rate of 10 percent above the regular pay rate. Collective labor agreements can provide for higher overtime rates. If not specified otherwise, overtime cannot exceed eight hours weekly or 250 hours per year. Violations can result in the levy of administrative fines.
Wage Payment
Payment terms may be set by a collective labor agreement.
The employer can make deductions from an employee’s wages, including union dues, if authorized by the employee and for contributions to various social insurance programs, such as the old-age pension and the pension for seniority.
Leaves / Public Holidays
Workers are entitled to four weeks’ paid annual leave, two of those weeks consecutive at the employee’s request. An employer may require an employee to take vacation leave at a specific time in consideration of the needs of the business. Employees cannot take pay instead of annual leave except when the employment relationship is terminated. Two of the four weeks must be taken during the year in which they are earned, although the other two may be carried over for an additional 18 months.
Italy observes the following public holidays, which for employees are generally treated as paid leave:
- Jan. 1: New Year’s Day
- Jan. 6: Epiphany
- Easter
- Easter Monday
- April 25: Liberation Day
- May 1: Labor Day
- June 2: Date of the Founding of the Republic
- Aug. 15: Assumption Day
- Nov. 1: All Saints’ Day
- Dec. 8: Feast of the Immaculate Conception
- Dec. 25: Christmas Day
- Dec. 26: St. Stephen’s Day
Each locality also observes an additional holiday to honor its patron saint.
Workers receive an additional day’s pay if a public holiday falls on a Sunday or another day that is not
usually a workday. Workers who must work on a holiday are paid overtime.
Visas / Work Permits
As a member of the European Union, Italy subscribes to the principle of free movement of labor, under which every EU citizen has the right to work in any EU member country, while non-EU citizens are subject to certain regulations, including the requirement of a work permit. Italy admits non-EU foreign workers on an annually adjusted quota system, although some highly skilled professionals with specific professional profiles are exempt from the quota.
Employers must request authorization to hire a foreign worker from the Immigration Single Desk. In the application, the employer is required to guarantee adequate lodging for the worker and travel costs for the worker’s repatriation in case of expulsion before expiration of the contract. The application must also include details of the work contract, which must comply with existing collective contracts for the specific sector and occupation in which the requested worker will be employed.
Once approval is granted, the work permit is delivered to the employer. The entire process takes about 40 days.
The employer then sends the work permit to the foreign worker, who must present it at the Italian embassy or consulate in his or her country of origin.
U.S. citizens do not need a visa for business travel to Italy lasting 90 or fewer days. A passport with validity of at least six months beyond the date of planned return is required.
A resident of the U.S. who plans to stay in Italy as a salaried employee for more than 90 days must obtain a work permit from the prospective employer. Those seeking to work in Italy under other circumstances can fill out a simple questionnaire to determine what documents they need and where to acquire them.
