Employer of Record in Italy

An Employer of Record in Italy acts as the legal employer for your workers, so foreign companies can hire Italian talent without registering a local entity.

Italy's compliance environment is specific. Employers must register with INPS and INAIL, and employment terms are governed by the CCNL system, which includes over 900 active collective bargaining agreements covering sector-specific pay, benefits, and working conditions.

• EOR hiring takes 2 to 5 days; setting up an Italian S.r.l. takes 3 to 6 months.
• Employer social contributions run approximately 27 to 30 percent of gross salary.
• Notice periods range from 15 to 120 days depending on the applicable CCNL and employee tenure.
• Italy has over 900 active CCNLs, each setting minimum pay and benefits by sector.

This page covers Italian employment law, employer costs, the step-by-step hiring process, and the criteria for selecting an EOR provider.

Gloroots operates as an EOR provider in Italy. This guide is written to help companies assess all available options and choose the path that fits their situation.

What Is an Employer of Record in Italy?

An EOR becomes the statutory employer under Italian law. It holds the required INPS and INAIL registrations and signs the employment contract directly with the worker.

Foreign companies without an Italian subsidiary use an EOR to employ workers in Italy without first establishing a local entity.

In practice, the client selects the candidate and directs the work. The EOR issues a CCNL-compliant employment contract, runs monthly payroll with IRPEF, INPS, and INAIL deductions, administers statutory benefits including paid leave and sick pay, and manages day-to-day HR administration on the client's behalf. For a full explanation of the model, see how does EOR work.

Your Hiring Options in Italy: EOR vs. Entity vs. PEO vs. Contractor

Companies hiring in Italy can choose from four paths: an EOR, a locally incorporated entity (S.r.l.), a PEO arrangement, or an independent contractor engagement. Each carries a different compliance profile and cost structure.

An EOR is appropriate when you are testing the Italian market or hiring between 1 and 30 employees without a local entity in place.

Entity setup makes sense for sustained operations with 50 or more employees and a confirmed long-term Italian presence.

Path	Setup Time	Compliance Ownership	Cost Structure	Best For
EOR	2 to 5 days	EOR holds legal employer status	Per-employee monthly fee	Market entry, 1 to 30 employees
Own Entity (S.r.l.)	3 to 6 months	Client company	Setup costs plus ongoing payroll overhead	50+ employees, long-term operations
PEO	Varies	Shared with client	Per-employee fee	Not widely applicable in Italy (see note below)
Independent Contractor	Immediate	Contractor holds own Partita IVA	Invoice-based	Project work with genuine autonomy

A PEO model requires the client to already hold a local Italian entity. Gloroots, as an EOR, holds legal employer status in Italy directly, so no client entity is required. Italy does not legally recognize PEO co-employment in the same way as some other jurisdictions. For details on Gloroots' EOR services, see the full services page.

How to Hire in Italy Through an EOR: Step by Step

Hiring through an EOR in Italy follows six steps, from choosing the right employment structure to completing onboarding with a fully compliant contract in place.

Step 1: Decide Between EOR and Entity

Assess your headcount, timeline, and budget. Use an EOR for 1 to 30 employees or when testing the market. Consider an S.r.l. at 50 or more employees with a long-term commitment. Review the four-path comparison table in the previous section before deciding.

Step 2: Select and Vet an EOR Provider

Verify that the EOR owns its own Italian legal entity rather than operating through a partner network. Confirm CCNL expertise across your relevant sectors and check the provider's GDPR and data processing credentials. Full selection criteria are covered in the 'How to Choose' section below.

Step 3: Issue a CCNL-Compliant Employment Contract

Permanent contracts are the default under Italian law. Fixed-term contracts require written justification and are capped at 12 months, extendable to 24 under specific conditions. Include IP assignment clauses and NDA or non-compete provisions at this stage, as Italian law requires these to be addressed in the initial contract.

Step 4: Register with INPS, INAIL, and the Ministry of Labour

The EOR holds all INPS, INAIL, and Ministry of Labour registrations as the legal employer, not the client company. Italian law also requires health and safety training to be completed before or on the employee's first day of work.

Step 5: Run Monthly Payroll and File Statutory Reports

Monthly payroll includes TFR accrual at 6.91% of gross annual salary per year. Employers must also file the annual Certificazione Unica (CUD) with the Agenzia delle Entrate, reporting each employee's income and tax withholdings for the prior fiscal year.

Step 6: Manage Offboarding and Exit Compliance

At exit, the employer issues a Certificazione Unica (CU) to the departing employee. This document is separate from the annual CUD employer filing obligation. Notice periods must comply with the applicable CCNL for the employee's industry and role classification.

How to Choose the Right EOR in Italy

Selecting an EOR in Italy requires evaluating specific legal, operational, and contractual capabilities before committing to a provider.

Italy's employment framework is one of the most regulated in Europe. An EOR must demonstrate active knowledge of the Italian Civil Code, the Workers' Statute, and the CCNL system, which covers more than 900 active collective agreements across industries. Generic compliance claims are not sufficient.

Use the criteria below to assess any provider you are considering. For a broader comparison framework, see our guide on choosing the best employer of record for your business.

• Verified CCNL coverage for your specific industry
• Demonstrated experience handling Italian terminations and labor disputes
• Clear payroll processes including TFR accrual and CUD filings
• Transparent pricing with no hidden statutory cost markups
• Defined onboarding timelines and Day One compliance support

Local Legal Knowledge and CCNL Coverage

Italy has more than 900 active collective bargaining agreements. Verify that the EOR has specific CCNL expertise for your industry, not just general Italian labor law knowledge. Ask directly whether the provider has managed terminations and labor disputes under Italian law, and request documented examples.

Own Entity vs. Partner Network in Italy

An EOR that holds its own Italian legal entity carries direct compliance accountability. Ask any provider directly: do you hold your own INPS and INAIL registrations in Italy?

Support Model and Response Times

Evaluate whether the provider offers Italian-speaking support, a dedicated account manager, and a stated response-time SLA. Support quality matters most during terminations and regulatory audits.

Pricing Transparency

Request a per-employee monthly fee stated upfront. Market rates range from $199 to $699 per month depending on provider and service scope. See Gloroots pricing for country-specific rates. Confirm whether contractor management is priced separately.

Data Security and GDPR Compliance

Confirm the EOR provides a Data Processing Agreement covering Italian employee data under GDPR. Check for ISO 27001 or SOC 2 certification as baseline evidence of data security controls.

Integration and Automation Capability

Evaluate whether the EOR platform integrates with your HRIS, expense management, and equity tools. Automated INPS and INAIL filings, along with payslip generation, reduce manual error risk.

Workforce and Talent Pool in Italy

Italy has approximately 23 million employed individuals, with a median age of around 46 years. Graduate inflow from universities like Politecnico di Milano and Sapienza keeps the talent pipeline active.

Milan leads in finance, technology, and fashion. Rome concentrates public services and consulting. Turin anchors automotive and aerospace hiring.

Italian workplaces in established sectors follow hierarchical traditions, with decisions concentrated at senior levels. Technology and startup environments operate on more collaborative, agile models. Professionals increasingly expect hybrid or remote options. Salaries vary by region: Milan averages €35,000 to €45,000 per year, Rome €30,000 to €40,000, and Southern Italy €25,000 to €35,000. The tech sector reaches €40,000 to €70,000 or more annually. Companies hiring across European markets can also review employer of record Germany for regional comparison.

Metric	Details
Workforce Size	~23 million employed individuals
Median Age	~46 years
English Proficiency	Widely spoken in business, finance, and export sectors
Top Talent Hubs	Milan, Rome, Turin, Bologna, Naples
Key Industries	Fashion, Automotive, Finance, Pharma, Technology

Employment Law Essentials in Italy

Three frameworks govern employment in Italy: the Italian Civil Code, the Workers' Statute (Statuto dei Lavoratori), and Legislative Decree No. 81/2015 (the Jobs Act).

The Jobs Act regulates contract types, working conditions, and temporary or agency worker arrangements. It is directly relevant to EOR compliance because it defines the rules under which a third-party employer can legally engage workers.

Italy has more than 900 active National Collective Bargaining Agreements (CCNLs). Each CCNL sets sector-specific rules on pay, working hours, leave, and termination. The applicable CCNL depends on the industry and the employer's registered classification.

Key areas regulated across these frameworks include:

• Contract form and permitted types
• Working hours and overtime premiums
• Minimum pay by sector and role level
• Leave entitlements and statutory benefits
• Termination procedures and severance (TFR)

Employers must identify the correct CCNL before hiring. Applying the wrong agreement creates retroactive liability for underpaid wages and missed contributions.

Employment Contracts

The Italian Civil Code and D.Lgs. 81/2015 govern contract form and content. Contracts must be written, in Italian, and specify the applicable CCNL, role, pay, and working hours.

Permitted types include permanent, fixed-term (up to 12 months, extendable to 24 under specific conditions), part-time, and apprenticeship contracts. IP assignment clauses and non-disclosure or non-compete provisions should be included at the contract stage, before employment begins.

Gloroots prepares compliant Italian employment contracts that reflect the correct CCNL and include standard protective clauses.

Working Hours and Overtime

Italian law sets a maximum of 40 ordinary hours per week and an absolute ceiling of 48 hours including overtime, averaged over four months.

CCNLs regulate overtime premiums, which typically range from 15% to 50% depending on whether the work falls on evenings, weekends, or public holidays.

Minimum Wage

Italy has no statutory minimum wage as of 2025. The European Minimum Wage Directive (2022/2041) requires member states to assess pay adequacy, and Italy is under active political debate about introducing a statutory floor.

In the absence of a statutory rate, minimum pay is set entirely by CCNLs. With more than 900 active agreements, the applicable minimum depends on the industry, the employer's CCNL classification, and the employee's role level. Rates vary significantly across sectors.

Leave and Statutory Benefits in Italy

Italian law and CCNLs together define leave entitlements. Statutory minimums apply across all workers, and many CCNLs provide more generous terms by sector.

The table below summarises the main leave types, entitlements, pay rates, and key conditions.

Leave type	Entitlement	Pay rate	Key conditions
Annual leave	At least 4 weeks (20 working days); many CCNLs provide 26 days after 8 years of service	Full pay	Cannot be fully waived; minimum 2 weeks must be taken in the year accrued
Maternity leave	5 months (typically 2 before and 3 after birth)	80% of salary, paid by INPS; many employers top up to 100%	Mandatory; cannot be waived by the employee
Paternity leave	10 working days	100%, paid by INPS	Mandatory for fathers; must be taken within 5 months of birth
Parental leave	Up to 10 months shared between parents	30% of salary, paid by INPS	Available until the child turns 12
Sick leave	Varies by CCNL	100% for first 3 days (employer); then shared between employer and INPS	Duration and pay rate set by applicable CCNL

Annual Leave

Employees in Italy are entitled to a minimum of four weeks (20 working days) of paid annual leave per year under Italian law.

Many CCNLs increase this to 26 working days after eight years of service with the same employer. At least two weeks must be taken in the year they are accrued and cannot be carried over indefinitely.

Sick Leave

Employees are legally entitled to paid sick leave under Italian law. The duration and pay rate vary by CCNL, which may extend employer-paid sick leave beyond the statutory minimum shared between the employer and INPS.

Maternity and Paternity Leave

Mothers receive five months of paid maternity leave, covered by INPS at 80% of salary. Employers commonly top up to 100%.

Paternity leave is 10 working days, fully paid at 100% of salary through INPS. It must be taken within the period from two months before the expected birth date until five months after the birth. In case of multiple births, entitlement increases to 20 working days. Employers may provide additional benefits or more favourable terms through collective agreements. Parental leave of up to ten months is shared between parents, paid at 30% of salary.

Public Holidays

Italy observes 12 national public holidays per year. Employees required to work on public holidays are entitled to additional pay or compensatory rest, as specified by the applicable CCNL.

Payroll, Tax and Statutory Contributions in Italy

Italian payroll runs on a monthly cycle. Employers are responsible for withholding income tax (IRPEF) and filing statutory contributions with INPS and INAIL each month.

One high-risk area is TFR (Trattamento di Fine Rapporto), the statutory severance fund. Employers must accrue TFR at exactly 6.91% of gross annual salary per year, with an annual inflation adjustment. Incorrect accrual creates a significant liability at termination.

Italy's employer social security burden of 27 to 30% or more compares to the OECD average of 16.4% (OECD Taxing Wages 2024). Employers must also file the annual CUD (Certificazione Unica) with the Agenzia delle Entrate.

Employer INPS contribution breakdown

• Pension: approximately 23.8%
• Healthcare: approximately 7.4%
• Unemployment: approximately 1.7%
• INAIL accident insurance: varies by industry

Italian income tax slabs (IRPEF)

Taxable Income (EUR)	Tax Rate
Up to 28,000	23%
28,001 to 50,000	35%
Over 50,000	43%

Employer and employee statutory contributions

Contribution	Employer Rate	Employee Rate
INPS (pension and social security)	~23.8%	~9.19%
Healthcare	~7.4%	Included above
Unemployment (NASPI)	~1.7%	N/A
INAIL (accident insurance)	Varies by industry	N/A
TFR accrual	6.91% of gross annual salary	N/A

Work Visas and Permits in Italy

EU and EEA nationals can work in Italy without a visa. Non-EU nationals require a work visa and residence permit, governed by Italy's Decreto Flussi quota system and specific permit categories.

Gloroots, as the legal employer of record, can act as visa sponsor for non-EU hires. This includes managing Nulla Osta applications, residence permits, and Codice Fiscale registration, so your team can focus on onboarding rather than immigration paperwork.

Visa types in Italy

Visa Type	Purpose	Validity
National Work Visa (Type D)	Long-term employment for non-EU nationals	Linked to residence permit duration
EU Blue Card	Highly qualified professionals with degree or 5+ years experience	Up to 4 years, renewable
ICT Permit	Intra-company transfers (managers, specialists, trainees)	Up to 3 years (managers/specialists); 1 year (trainees)
Decreto Flussi Permit	General employment under annual government quota	Annual, renewable
Self-Employment Visa	Freelancers, entrepreneurs, and investors	Varies by business criteria

Equity and ESOP Consulting in Italy

Equity compensation is increasingly common in Italy's growing tech and fintech startup sector, particularly in Milan, where venture-backed companies compete for senior engineering and product talent.

Stock options and RSUs are generally taxed as employment income under IRPEF at grant or vesting. Qualifying stock option plans under Article 51 of the TUIR may receive favorable tax treatment if specific conditions are met. The rules are complex, and specialist tax advice is required before structuring any equity plan for Italian employees.

Misclassification Risk in Italy

Italian courts apply a subordination test to determine employment status, regardless of how the contract labels the relationship.

Criteria courts use to identify an employee

• The company controls working hours, location, and methods of work on a day-to-day basis.
• The worker relies on company-provided tools, systems, or infrastructure to perform their role.
• The worker is economically dependent on a single company for substantially all income.
• The role is integral to the company's core operations and not a discrete, project-based engagement.

Penalties for misclassification

• Back payment of all unpaid INPS and INAIL contributions, plus statutory interest and administrative fines.
• Retroactive entitlement to all employment benefits: paid leave, TFR, 13th-month salary, and sick pay.
• Labor inspectorate sanctions and potential criminal liability for the responsible company officers.
• Reputational damage and prolonged litigation before Italian labor tribunals.

Using EOR services eliminates misclassification risk by making Gloroots the statutory employer under Italian law.

Hiring, Onboarding, Termination and Offboarding in Italy

Hiring in Italy requires pre-employment filings, written contracts aligned to the applicable CCNL, and a structured offboarding process that covers TFR, final contributions, and statutory documentation.

Onboarding

Before Day One

• File UNILAV with the Ministry of Labour before the employee's first working day.
• Register the employee with INPS and INAIL; obtain a Codice Fiscale if not already held.
• Issue a written employment contract in Italian referencing the applicable CCNL.
• Arrange mandatory occupational health and safety training as required under Italian law.

Day One

• Provide a CCNL-compliant payslip template and explain deductions, contributions, and net pay structure.
• Deliver equipment and set up workplace safety protocols, system access, and credentials.

First Week

• Enroll the employee in supplementary benefits: meal vouchers, private health insurance, and transport allowance.
• Confirm probation period terms in writing per the applicable CCNL requirements.

Beyond

• Run the first monthly payroll including IRPEF withholding and INPS/INAIL contributions.
• Provide the employee with access to the payslip portal and the annual CUD documentation process.

Termination

Notice periods range from 15 to 120 days depending on the applicable CCNL and the employee's seniority. Just cause allows immediate dismissal without notice. All terminations require written documentation citing the specific legal ground.

Offboarding

Settlement

• Calculate and pay all outstanding wages, unused annual leave, and pro-rata 13th/14th-month salary installments.
• Pay TFR, calculated at 6.91% of gross annual salary per year of service, regardless of dismissal reason.
• Deregister the employee with INPS and INAIL; file final contributions and withholdings with Agenzia delle Entrate.

Documents

• Issue the Certificazione Unica (CU) summarizing income and tax contributions for the employee's records.
• Provide a certificate of employment if requested; supply any additional CCNL-required exit documentation.

Exit

• Collect company equipment including laptops, mobile devices, access cards, and company cars; confirm data security.
• Conduct an exit interview to maintain employer brand and gather feedback per company policy.

What's New: Recent Regulatory Changes in Italy

Italy's paternity leave increased to 10 mandatory days effective 2023 under the Italian Budget Law. D.Lgs. 104/2022 transposed the EU Transparent and Predictable Working Conditions Directive (2019/1152) into Italian law, requiring more detailed written employment terms from August 2022.

• D.Lgs. 104/2022 requires employers to provide written notice of working conditions within 7 days of the employee's start date.
• Expanded information requirements under D.Lgs. 104/2022 include training obligations, overtime rules, and social security details.
• Italy's 2024 Budget Law introduced revised fringe benefit tax thresholds: 1,000 EUR for general employees and 2,000 EUR for employees with dependent children.
• A statutory minimum wage remains under political debate in Italy; no law had passed as of Q2 2025.
• A legal analysis published by L&E Global in April 2026 questioned EOR legality under D.Lgs. 81/2015; EOR providers should confirm their legal structure with qualified Italian counsel.

Employers using EOR in Italy should review their provider's compliance posture against D.Lgs. 104/2022 and D.Lgs. 81/2015 annually. For context on how similar regulatory shifts affect EOR operations elsewhere in Europe, see employer of record UK.

Review owner: Gloroots Legal/Compliance. Next review: Q3 2025.

Costs and Financial Planning for Hiring in Italy

Total employment cost in Italy typically runs 30–40% above gross salary, driven by mandatory social contributions and statutory bonuses.

Two costs are frequently missed in initial budgets. TFR (Trattamento di Fine Rapporto) accrues at 6.91% of gross annual salary and is paid as a lump sum at termination. Many CCNLs also require a 14th-month salary payment, which adds a full month of gross pay to annual cost.

Italy's employer social security burden sits at 27–30% or more of gross salary. The OECD average is 16.4%, making Italy's employer contribution rate nearly double the international benchmark.

Cost Element	Direct Entity	Gloroots EOR
INPS social contributions	Employer manages directly	Included in EOR fee
INAIL workplace insurance	Employer registers and pays	Managed by Gloroots
TFR accrual (6.91%)	Tracked and funded by employer	Accrued and managed by Gloroots
13th/14th-month salary	Employer calculates per CCNL	Applied per applicable CCNL
Payroll administration	Internal or outsourced cost	Included in EOR fee

For a full breakdown of what EOR pricing covers, see our guide on employer of record cost.

Common Challenges and How Gloroots Solves Them in Italy

Hiring in Italy involves four recurring compliance risks: selecting the correct CCNL, managing TFR accrual accurately, meeting D.Lgs. 81/2015 requirements, and handling termination disputes under Italian labor law.

Challenge	How Gloroots Addresses It
CCNL identification across 900+ agreements	Gloroots maps each role to the applicable CCNL based on industry, job category, and location before the contract is issued
TFR accrual errors	Gloroots calculates and tracks TFR at 6.91% of gross annual salary each payroll cycle, maintaining an accurate deferred liability balance
D.Lgs. 104/2022 written conditions compliance	Employment contracts issued through Gloroots include all mandatory written conditions required under D.Lgs. 104/2022 before the employee's first day
EOR legal structure under Italian law	Gloroots structures Italian employment relationships through its local entity to reduce exposure under D.Lgs. 81/2015 governing staff supply arrangements

Companies evaluating providers should review how each EOR structures its Italian operations. For a comparison of providers, see our guide on the best employer of record options available.

Why Gloroots Is a Strong EOR Partner in Italy

Gloroots is suited for companies hiring 1–30 employees in Italy who need CCNL-compliant contracts, accurate TFR accrual, and full INPS/INAIL management without opening a subsidiary.

Country-specific strengths include CCNL identification across Italy's 900+ agreements, D.Lgs. 104/2022-compliant written employment conditions, and GDPR-compliant data processing for Italian employee records.

Gloroots can onboard Italian employees in 2–5 days. Entity incorporation in Italy typically takes 3–6 months.

The platform is a practical fit for technology, finance, and professional services companies entering Italy from outside the EU.

Buyers should confirm Gloroots' legal entity ownership in Italy and review its compliance position under D.Lgs. 81/2015 before committing. This applies to any EOR provider operating in this market. Gloroots also supports EOR for startups and EOR for mid-market companies with country-specific pricing and local execution.

Conclusion

Italy's 900+ CCNLs and the contested legal status of EOR under D.Lgs. 81/2015 make provider selection more consequential here than in most EU markets.

Before engaging any EOR in Italy, verify the provider's legal entity ownership, CCNL coverage for your specific industry, and compliance position under D.Lgs. 81/2015. Then compare pricing structures and support models to confirm the arrangement fits your headcount and operational requirements.

Frequently Asked Questions About Employer of Record in Italy

The questions below cover the most common compliance, cost, and operational issues companies face when hiring in Italy through an EOR.

Is an Employer of Record legally compliant in Italy?

EOR services operate in Italy, but the model has no explicit legal recognition under Italian law. A 2026 legal analysis by L&E Global raised concerns that EOR arrangements may constitute unlawful staff supply (somministrazione abusiva) under Legislative Decree No. 81/2015 if the EOR is not an authorized agency. This makes provider structure a material compliance question, not a secondary consideration.

Reputable EOR providers structure their Italian operations through authorized entities or compliant legal frameworks. Buyers should ask any provider directly how it structures its Italian employment relationships and whether it holds the necessary authorizations under D.Lgs. 276/2003.

How much does an Employer of Record in Italy cost?

EOR fees in Italy typically range from $199 to $699 per employee per month, depending on the provider and service scope. This fee covers payroll processing, INPS and INAIL contributions management, CCNL compliance, and HR administration. It does not replace the employer's obligation to fund the actual salary and statutory contributions.

Total employment cost in Italy runs 30 to 40% above gross salary when mandatory contributions, 13th and 14th-month salaries, and TFR accrual are included. See Gloroots' pricing for country-specific rates.

How long does it take to hire an employee in Italy through an EOR?

Through an EOR, a company can hire an employee in Italy in 2 to 5 business days. The EOR issues the employment contract, registers the employee with INPS and INAIL, files the UNILAV form with the Ministry of Labour, and sets up payroll. No local entity is required.

Incorporating an S.r.l. in Italy takes 3 to 6 months and requires at least €10,000 in minimum capital, notarization, and registration with the Business Register.

What statutory benefits must Italian employees receive?

Italian employees are entitled to a minimum of 4 weeks' annual leave, 12 national public holidays, maternity leave of 5 months at 80% pay via INPS, and sick leave covered jointly by the employer and INPS. TFR severance accrues at 6.91% of gross annual salary per year.

Most CCNLs require a 13th-month salary in December and, in many sectors, a 14th-month salary in June or July. Paternity leave entitlement should be verified against current INPS rules for 2025.

What is the difference between an EOR and a PEO in Italy?

An EOR becomes the legal employer of the worker in Italy, holding all INPS and INAIL registrations and signing the employment contract directly. The client company directs the work but has no direct employment relationship. A PEO co-employs workers alongside the client, but this model requires the client to already have a legal entity in Italy.

Because PEO co-employment has no formal legal recognition in Italy, most international companies without an Italian entity use an EOR. The EOR model is the more legally straightforward path for market entry.

Can an EOR sponsor work visas in Italy?

Yes. Because the EOR is the legal employer in Italy, it can act as the visa sponsor for non-EU employees. This includes applying for the Nulla Osta from the Italian immigration office, supporting the National Work Visa (Visto Nazionale, Type D) application, and registering the employee for a residence permit (permesso di soggiorno).

EU Blue Card applications for highly qualified professionals and Intra-Company Transfer permits for multinational transfers can also be managed through an EOR. The Decreto Flussi annual quota system applies to most non-EU nationals outside these categories.

Do employees hired through an EOR in Italy receive the same rights as directly employed workers?

Yes. Employees hired through an EOR in Italy are employed under a standard Italian employment contract and receive all statutory entitlements, including CCNL-mandated pay, annual leave, sick leave, maternity and paternity leave, TFR severance, and INPS and INAIL social security coverage, identical to directly employed workers.

Equal treatment is also a legal obligation under D.Lgs. 81/2015 for agency-placed workers. EOR employees must receive the same pay and conditions as comparable directly employed workers at the client company.