Fringe benefits will be exempt of
social security contributions as well as taxation up to a
threshold of 3,000 euros under an amendment to the labour decree
currently before parliament, Minister for Relations with
Parliament Luca Ciriani told ANSA by phone on Thursday.
"We have found the (financial) cover that was missing: 190
million euros that will be used" to exempt fringe benefits
contribution charges that would otherwise be carried by the
employer.
"The government and President Meloni wanted fringe benefits be a
disbursement not covered by any kind of expense for businesses.
It is a sign of consistency with the announcements made and it
is a support to families because it is pure corporate welfare,"
he said.
Parliament is converting into law a labour package passed by
decree by the government on May 1 cutting income tax for low
earners, making it easier to renew temporary job contracts,
reintroducing the so-called voucher system to pay for seasonal
or occasional work and replacing the so-called citizenship wage
with two new anti-poverty benefits, among other measures.
The changes to labour contract regulations and the
reintroduction of the voucher system have been criticised by
opposition parties and labour unions.
"We are fed up of seeing heaps of poor, insecure jobs that
condemn young people, especially in the south, to unbearable
precarious conditions," said centre-left opposition Democratic
Party (PD) leader Elly Schlein after the measures were approved.
Under the terms of the decree the reduction in income tax for
low earners will only be effective from July until the end of
the year.
However, the government has already said that it intends to make
the cut structural.
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