Covid layoffs: farewell on July 1st and some businesses will have to abandon the reason for the emergency.
Only some businesses why the change will not affect everyone and there will still be those who can continue to use the Covid layoffs.
The Sostegni bis decree introduced the redundancy fund discounted from 1 July for companies that will access from that date to CIGO.
For companies that access the CIGO with a reason for Covid, the 13 weeks of the March Sostegni decree expire on 30 June together with blocking of layoffs. Let’s see what changes from 1 July for the Covid layoffs.
Covid redundancy fund: stop from 1 July, including the blocking of layoffs
The Covid redundancy fund ends on 30 June therefore, for companies that access the CIGO; the use of the social safety net changes from 1 July.
From 1 July, the period of Covid ordinary layoffs of an emergency nature for the sectors ofindustry andbuilding, companies that will not access the ordinary social safety net, pursuant to decree n.148 / 2015, they will be able to fire.
In fact, from 1 July the Covid redundancy fund ends and the possibility of dismissal is triggered, even if the decree n.73 / 2021, the Sostegni bis, has provided for a possibility to overcome the crisis for companies in any case in difficulty and that is to say one discount on ordinary CIGO until December 31st.
If the fate of the Covid layoffs is now certain, the condition of the redundancy block is different.
After June 30 for some it should end, but the unions are still pushing for a general extension.
Meanwhile, the Covid redundancy fund is still expected until 31 December for companies that access it in derogation and ordinary check.
Covid redundancy fund: goodbye from 1 July, but discount on the CIGO
And if the Covid redundancy fund ceases from 1 July for companies that access the CIGO, they can use theordinary shock absorber from that date with a discount.
In fact, as anticipated, the Sostegni bis decree provides for companies that access the ordinary or extraordinary layoffs from that date onexemption from paying the additional contribution to INPS and until 31 December 2021.
The same companies that will access the non-Covid, but facilitated layoffs, however, they will not be able to fire.
Therefore, in the specific case, the freezing of redundancies for economic reasons and collective ones for staff reduction. However, the possibility remains of being able to dismiss:
- for companies that have gone out of business;
- for companies declared bankrupt when provisional exercise is not foreseen;
- in the case of a company collective agreement, stipulated by the comparatively most representative trade unions at national level, to incentivize the termination of the employment relationship, limited to workers who adhere to the aforementioned agreement;
- change of contract.
From 1 July, the redundancy fund, pursuant to decree n.148 / 2015, will be:
- 52 weeks in the mobile two-year period for the CIGO;
- 24 months in the mobile five-year period for the extraordinary one.