Blocking layoffs: the European Commission’s rejection

Although Italy had already formalized the entry into force of the freeze on layoffs from March 2020, the European Commission does not agree with the extension provided for by the Support Decree, considered ruinous for the job market. This is a postponement to June 30th and until October 31st for companies that access CIG and ordinary cheque. It is a solution that benefits permanent workers at the expense of fixed-term workers. The reason why the European Commission is against this choice comes from the fact that Italy was the only effective country to introduce it, which is why it is considered ineffective and superfluous. In light of this, an analysis was carried out on the responsiveness of the labor market to economic changes, and it is noted that European countries have nevertheless managed to contain the economic situation resulting from the pandemic.