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Italian collective dismissal rules ‘Jobs Act’ reaches the European Court of Justice

Written by
Toffoletto de Luca Tamajo, working in employment law since 1925.
The Court of Milan has asked the European Court of Justice to rule on whether collective dismissal rules in Italy’s Jobs Act comply with EU law.  

In a decision of 5 August 2019, the Court of Milan, has referred the provisions governing the collective dismissals provided for by article 10 of the Italian Legislative Decree 23, 2015, (known as the ‘Jobs Act’) to the European Court of Justice for assessment. The Court of Milan has requested a preliminary ruling, to verify their compatibility with EU law.

According to these provisions, a different sanction applies to employees hired after 7 March 2015 if the employer has violated the selection criteria for employees to be dismissed following a collective dismissal procedure. The Jobs Act provides that in this situation, the only recourse available to employees hired after 7 March 2015 is the payment of an economic indemnity and not their reinstatement in the workplace (the latter recourse is now only available to employees hired before 7 March 2015).

The European Court of Justice will therefore be required to assess whether the different recourse provided for by Jobs Act, based only on the date the employee was hired, complies with the principles of equal treatment and non-discrimination provided for by European Union legislation.

Emanuela Nespoli
Partner - Italy
Toffoletto De Luca Tamajo