Italy: Constitutional Court Lifts Ceiling on Compensation for Unlawful Dismissals by Small Businesses

Global Legal Monitor from the Law Library of Congress

12/23/2025 12:26 PM EST

On June 23, 2025, the Italian Constitutional Court ruled that a provision limiting severance pay to six months’ salary for employees unlawfully terminated from small businesses violated the constitutional requirement that compensation reflect the personalized harm suffered by employees in each specific case.Decision No. 118 of 2025 thus declared article 9, paragraph 1 of Legislative …

 

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