Italy Employment Guide

Understanding Italy's Minimum Wage Framework

National Collective Agreements as the Standard

Italy does not have a statutory national minimum wage. Instead, minimum wage levels are determined by National Collective Labor Agreements (CCNL), which set standards for various industries. For example, in the retail sector, hourly wages typically range from €7 to €9.

Each employment category's minimum wage is usually defined by the relevant National Collective Agreement. While there are ongoing efforts to introduce a minimum wage for the small percentage of workers not covered by these agreements—less than 3% of the workforce—the CCNL remains the primary mechanism.

Bonuses and Allowances in Italian Employment

There is no mandatory statutory bonus in Italy. However, National Collective Agreements may include provisions for collective performance bonuses (known as 'premi di risultato') or individual performance incentives. Similarly, statutory allowances are not required by law, but many NCAs provide for travel allowances or compensation for specific work arrangements, such as on-call duties.

For companies like SailGlobal operating in Italy, adhering to the appropriate CCNL is essential for compliance and fair labor practices. Case in point: a multinational retail firm recently faced penalties for not aligning with sector-specific CCNL standards, underscoring the importance of understanding local agreements.