Frequently asked questions about doing business in Italy
Q: My company, established in Poland, has an opportunity to work in Italy on electrical installations in retail stores. We would like to bring our own staff from Poland. What rules apply?
A: Workers who carry out their activity in the territory of a Member State of the EU other than the State in which they are normally employed fall within the scope of Directive 96/71/EC concerning the posting of workers. This directive applies in the framework of the cross-border provision of services, i.e. when their activity in a Member State other than the one where they are employed takes place for a limited period of time.
Workers posted in Italy must be granted the terms and conditions of employment which are applicable in the Member State where the work is carried out, as far as the aspects listed in article 3 of the directive are concerned. According to article 3 of the directive, this principle applies to the followings:
(a) maximum work periods and minimum rest periods;
(b) minimum paid annual holidays;
(c) the minimum rates of pay, including overtime rates; this point does not apply to supplementary occupational retirement pension schemes;
(d) the conditions of hiring-out of workers, in particular the supply of workers by temporary employment undertakings;
(e) health, safety and hygiene at work;
(f) protective measures with regard to the terms and conditions of employment of pregnant women or women who have recently given birth, of children and of young people;
(g) equality of treatment between men and women and other provisions on non-discrimination.
In Italy the employer is required to subscribe an insurance at INAIL, the national institute for insurances against work accidents. However, article 12 of EC Regulation 883/2004 grants exemption from the payment of insurance contributions in the State of employment in case of posting of workers.
An undertaking which posts a worker to another Member State (Italy) must contact the competent institution in the posting State (Poland) and wherever possible this should be done in advance of the posting. The competent institution in the posting State shall without delay make information available to the institution in the State of employment on the legislation that is to apply. The competent institution in the posting State must also inform the person concerned, and his/her employer in the case of an employed person, of the conditions under which they may continue to be subject to its legislation and the possibility of checks being made throughout the posting period to ensure these conditions are met.
An employee to be posted to another Member State or his employer shall be provided with an attestation A1 (formerly E 101 certificate) from the competent institution of the country where the employer is established.
This attestation certifies that the worker comes within the special rule for posted workers up to a specific date. It should also indicate, where appropriate, under what conditions the worker comes within the special rules for posted workers.
