Relevanz des Themas
In 2024, Italy's labor market has reached record-high levels of employment and permanent contracts, marking a significant recovery from past downturns. Yet, persistent challenges remain. Youth unemployment and labor market duality remain high, and wages and productivity have stagnated for over two decades. Although several major labor market reforms have aimed to increase flexibility and reduce segmentation, many of their effects remain contested. Female participation has risen and long-term unemployment has declined, yet regional disparities remain deep and persistent, with the south lagging behind. Self-employment is widespread but often low income and non-entrepreneurial, while undeclared work continues to weigh on labor standards and fiscal capacity. Targeted reforms are needed to improve labor market inclusion, reduce fragmentation, and support sustainable growth.
Wichtige Resultate
Strengths
Employment and permanent contracts reached record highs by 2024, marking a significant post-crisis recovery.
Unemployment has declined steadily since 2014, reaching its lowest level since the Great Recession.
Long-term unemployment has dropped by more than half since its 2014 peak.
Older workers’ participation has increased substantially due to pension reforms.
Female participation has risen by over 11 percentage points since 2000.
Job vacancies have grown steadily since 2016, signaling stronger labor demand.
Weaknesses
Youth employment remains fragile, with high unemployment and declining participation.
Regional disparities in employment patterns persist, especially between north and south.
Labor market duality remains pronounced, with unstable employment persisting unusually late, up to age 35.
Wages and productivity have stagnated for over two decades, diverging from peers.
High self-employment without employees reflects structural weaknesses rather than entrepreneurial dynamism.
