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Financial Participation

Italian legislation has only a few legal provisions favouring employee financial participation in the enterprise.

Article 46 of Italian Constitution1 underlines the “worker’s right to cooperate in company management, according to the mode and limits established by law” and article 47 says that “the Republic facilitates the access to popular investment […] in direct and indirect share holdings in the large production sites of the country.”

Law no 314/1997, article 3.1 provides preferential tax treatment for companies that issue new bonds favouring their own employees.

Law no. 58/1998 confirms the right to acquire options in the employee’s own company.

Interest in employee financial participation in Italy increased in 2007, with new ideas on ways of improving the attractiveness of participation schemes through tax incentives being discussed and developed. The government initiative was supported by both trade unions and employer organizations, and included in the 2009 budget (via Act No. 126/2008).

In December 2009, the Italian government and most trade unions and employer organizations signed a joint statement on promoting employee financial participation, paving the way for legislation in this area.2 Hitherto, however, no corresponding legal regulations have come into force.

Wilke, Maack and Partner (2014) Country reports on Financial Participation in Europe. Prepared for www.worker-participation.eu. Reports first published in 2007 and fully updated in 2014.