Home » End-of-service treatment, the sentence of the Constitutional Court obliges the Government to change the rules. Stop deferred severance pay for state employees

End-of-service treatment, the sentence of the Constitutional Court obliges the Government to change the rules. Stop deferred severance pay for state employees

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End-of-service treatment, the sentence of the Constitutional Court obliges the Government to change the rules.  Stop deferred severance pay for state employees

The Constitutional Court – at the request of the Confsal-Unsa trade union – recognized the deferred crediting of end-of-service benefits as unconstitutional (TFS) for civil servants: thus forcing the government to adopt new rules. Soon, therefore, the Government will be forced to change the rules – much contested – for the payment of the TFS: we recall, in fact, that according to the current calendar, the liquidation can also arrive after 2 years, as well as being deferred in annual tranches of 50 thousand euros.

A difference in treatment compared to private sector employees which ended up before the Constitutional Court which, as anticipated, ascertained that this delay in payments conflicts with the constitutional principle of fair remuneration and as such must be – gradually – removed. It will be up to the Parliament to fix the situation but the process can, by the same concession of the Constitutional Court, take place gradually.

In fact, for the Consulta, the principle of fair remuneration must be ensured but at the same time attention must be paid to thefinancial impact that such a concession will have. Consequently, the Consulta invites the legislator to identify interventions, as well as implementation methods, which also take into account the commitments undertaken in the context of the economic-financial planning.

How public employee severance pay is paid today

The calendar adopted by INPS today for the liquidation of civil servants follows much longer timescales than those envisaged in the private sector (where workers receive it within a few weeks of termination of the contract), as:

it is paid within 105 days of the end of the employment relationship exclusively in cases of termination motivated by incapacity or death; for terminations due to reaching the age limit, i.e. for those accessing the old-age pension, or even due to the expiry of the fixed-term contract, the payment is scheduled no earlier than 12 months, with INPS having another 3 months of tolerance; finally, for relationships terminated following resignation or early retirement, payment times range from 24 to 27 months.

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Giulio Pinco Caracciolo

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