Italy’s Council of Ministers meeting on Friday 10 June provisionally adopted a corrective decree-law for five application decrees stemming from the Jobs Act. The much awaited and most significant measure looks to makes the ‘voucher’ system (form of employment payment) more traceable. Originally the voucher system was to enable the payment of services carried out on an ad hoc basis but that is now becoming a widespread mechanism for sidestepping labor legislation.
The principle underlying Italy’s ‘voucher’ system was to combat undeclared labor market (black market), which was widespread for several types of work such as home care services. The system comprised a simple payment element and social insurance. However in practice this has not been the case, as the country’s unions have criticized including at the forefront the CGIL, which is flatly calling for it to be abolished. Employers have in fact been using the system as a form of low cost labor, espec
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