Focus on employment incentives

Strong increase in subsidized relationships in 2021: + 96% compared to 2020 and + 156% compared to 2019

The recruitments and contractual changes made thanks to the contribution subsidies were 775.000 in 2019 (out of a total of 8,3 million activations); they exceeded one million units in 2020 (out of 6,4 million total activations) while in 2021 they reached almost 2 million (out of 7,8 million total activations). The incidence therefore increased from 9% in 2019 to 16% in 2020 and 25% in 2021. 

In 2021, despite the persistence of the pandemic, there was a further sharp increase in the number of subsidized relationships: a variation of + 96% compared to 2020 and + 156% compared to 2019, basically due to the extension to 2021 of the exemption "Southern tax redemption" activated in the last quarter of 2020 (law 178/2020 provided for its application until 2029). This facility represents 61% of the subsidized relationships in 2021 and, specifically, more than half are temporary employment relationships; considering also seasonal and intermittent ones, it reaches over 80%.

Compared to the previous year, in 2021 the number of facilitated relationships with the youth exemption increased by 99% and that with the incentive for women by 55% (the application of the new total exemptions provided for significantly contributed to this growth. from the aforementioned Law 178/2020). 

The relationships established with the total exemption for young people represent 89% of the relationships encouraged with the youth exemption as a whole (L.205 / 2017 and L.178 / 2020) while for the female incentive it remains in the majority and equal to 62 % the percentage of subsidized relationships with the exemption provided for by Law 92/2012 (50% of contributions). 

Apprenticeship contracts and the relationships established with the youth waiver and the women's incentive are more widespread in the north of the country. On the other hand, due to its specific purpose, the Southern Decontribution incentive is applied in the regions of the South (in particular 69% in three regions: Campania, Puglia and Sicily). 

More than half of the incentivized relationships are established with companies whose workforce does not exceed 15 employees, with the exception of the hiring of young people with exemption from contributions, for which the percentage is 45%.

From the distribution by economic sector and gender it emerges that the “Wholesale and retail trade; repair of motor vehicles and motorcycles; transport and storage; accommodation and catering services "is the sector with the highest number of incentive relationships with reference to all types of subsidies with the exception of the Incentive for Women, for which the sector most concerned is that of" Professional, scientific and technical activities; administration and support services ".

It should be noted that, with reference to the Southern tax reduction and the new total exemptions for young people and women, the legislation excludes companies operating in the "Financial and insurance activities" sector from the use of the benefit. 

Finally, for the generality of the subsidized relationships, the sector with a higher percentage of women than men appears to be that of “Public administration and defense; compulsory social insurance; instruction; health and social assistance ".

Focus on employment incentives

| Economics |