New IBA Report “The On-Demand Economy”: Italy chapter by Chiomenti
Chiomenti, with Employment Law Partner Annalisa Reale, has contributed for Italy to the new report focusing “The On-Demand Economy” released by IBA (International Bar Association) on October the 15th, 2019.
The Report urges policymakers to create bespoke legislation for the de facto ‘third category’ of workers engaged in the on-demand economy to provide them with greater protection and to boost innovation. Many on-demand economy workers face a lack of legal protection or insecurity about their rights and obligations, which may lead to incorrect situations, the report states.
The overview on Italy provided by the Firm with Annalisa Reale as contributor, focuses specifically on important key-topics.
The on-demand economy model involves new changes to work modalities because it involves a platform offering deliverables without being the traditional employer and without those performing the work being proper employees. This provides an organisation with additional flexibility in the use of workers. At the present time in Italy, however, the on-demand economy model cannot be used to determine the high level of protection that is typical for employees, at least according to the decisions of its courts. The approach under existing Italian laws with respect to employment and workplace issues, as well as issues related to taxation, continue to be based on the traditional either/or model. The current principles and rules, based on the traditional employee/contractor distinction, seem inadequate to properly manage the new models of working despite some protection for employees are however applied in Italy, following some Court cases, also to some on-demand economy workers.