DGTAX News 26 - 2026 - FLASH

Labour Day Decree

foto andrea cherchi82

As of 1 January 2026, four contributory incentives for permanent hiring are active. The funds are monitored by INPS and may run out: when the cap is reached, subsequent applications are not accepted (INPS instructions pending).

List of incentives

The exemptions apply to permanent hirings of women or young people in categories of disadvantaged or very disadvantaged workers who were not in regular paid employment at the time of hiring.

The benefits apply for open-ended hirings made from 1 January 2026 to 31 December 2026 and for conversions to open-ended contracts made from 1 August 2026 to 31 December 2026.

Summary of incentives:

Women Bonus 2026

100% contribution exemption (excluding INAIL) for private employers who hire women who have not been in regular paid employment for at least 24 months (or 12 months if in a disadvantaged category). Duration: 24 months. Cap: €650/month on the whole territory, €800/month in special southern Italy area (i.e. “ZES Mezzogiorno”). Budget: €26.5 million in 2026.

Youth Bonus 2026

Same conditions for non-managerial workers under 35, unemployed for at least 24 months (or 12 months if disadvantaged category). Cap: €500/month, raised to €650/month for hirings in ZES Mezzogiorno, as well as Marche and Umbria regions. Budget: €109.7 million in 2026.

Bonus ZES 2026

Reserved for employers with up to 10 employees who hire at a location in the SEZ regions. Target: over 35 unemployed for at least 24 months. Cap: €650/month for 24 months. Budget: €26 mln in 2026.

Stabilisation incentive

For the transformation from temp to permanent hires carried out from 1 August to 31 December 2026, without interruption, of fixed-term contracts concluded before 30 April 2026 and of a total duration not exceeding 12 months. The worker must be under 35 years of age and must never have been employed on a permanent basis. Cap: €500/month for 24 months. The effectiveness is subject to authorisation by the European Commission. Budget: € 18.2 mln in 2026.

Common condition: the hiring or transformation must produce a net increase in headcount compared to the average of the previous 12 months. No increase, no bonus. Also check: no GMO or collective dismissals in the previous 6 months in the same employer unit.

None of these incentives can be combined with other exemptions.

Photo Credits: Andrea Cherchi
https://it-it.facebook.com/andreacherchimilano
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