Italy
Employment Legislation.
In Italy, there is normally a trial period of between 3 and 6 months
after which it becomes extremely difficult to remove anybody from
an organisation. Effectively you cannot be fired and you would expect
to have to pay 6-12 months salary in order to dismiss an employee.
You cannot dismiss an employee for reasons of performance in sales.
Employees are expected by law to contribute to social taxes.
Availability of Trained Staff.
The Availability of staff is reasonable and tends not to vary much
between Milan and Rome the two main business areas. A common method
of attracting middle to high level staff is through advertising
which tends to be a long and tedious task.
The most common and generally used technique of Recruitment is
'who you know' everyone has their own network and constantly update
and improve it. Unless you or the recruiting company have a great
network ("Roladex") already in Italy, recruitment can
be a major headache.
Cost of Employment
Salaries in Italy are comparatively lower than that of the UK and
Central Europe, however, additional costs include, social and medical
taxes.
The Italian culture is to have a fully expensed Company car and
not to receive a car allowance.
Language and Cultural Factors
The Italians knowledge of the English language is reasonable, however
not comparable to that of the Germans Dutch or French, where almost
everyone in business speaks to a high level. In Italy this is not
the case and one cannot assume.
You will often hear of senior level Italian employees referring
to additional job titles such as Dirigente or Quadro. Basically,
these are government backed employment levels that carry with them
certain rights, privileges and entitlements as a guaranteed minimum
in addition to any contractual obligations.
Dirigent is a commonly known title to an employee normally with
a minimum ten years of high level experience. If a Company were
looking to employ an Italian to set up an Italian Subsidiary they
would need to be at Dirgente level in order to authorise it. It
is not a difficult process to organise somebody for this status
especially if they already have attained Dirigente level. Along
with Dirigente comes a need for a higher social security payments
by the employee, Dirigente also ensures greater employee protection.
Quadro is one level lower.
Travel and Communication
The majority of IT Technology businesses are based in either Milan
or Rome. Commercial property costs are quite competitive for Europe
and there is reasonable availability of good standard office space
more so in Milan. Milan has the broader market and Rome is home to
Telecom Italia. The Italians are constantly on planes from Milan
to Rome and Vice Versa and will tell you that location does not
matter. Broadly speaking Milan is the most appropriate base unless
there is a significant client based in Rome eg Telecom Italia. The
Italian rail network is quite extensive and reasonably reliable.
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