Hiring in Italy offers access to one of Europe’s most skilled and loyal workforces — but also one of its most complex employment systems.
From social security registration to local contracts, taxes, and collective agreements, compliance in Italy can feel overwhelming for foreign companies.
So how can you legally and efficiently employ a worker in Italy without setting up a local entity? That’s exactly where Peoitaly comes in.
Understanding Employment Compliance in Italy
Before hiring an employee in Italy, a company must comply with several legal and administrative requirements:
- Legal entity presence: to register the employment, pay taxes, and contribute to INPS (social security) and INAIL (workplace insurance).
- Employment contracts: drafted according to Italian labor law and the applicable CCNL (Collective National Labour Agreement).
- Payroll management: monthly tax withholdings, social security, and payslip generation.
- Mandatory benefits: vacation, sick leave, maternity/paternity leave, severance (TFR), and 13th/14th-month salary where applicable.
- Data reporting: to local labor authorities and pension funds.
Managing all this directly requires establishing a legal entity in Italy — a process that can take months and cost thousands of euros in ongoing compliance.
The Employer of Record (EOR) Solution
A faster, fully compliant alternative is to hire through an Employer of Record (EOR). This allows your company to legally employ staff in Italy without opening a subsidiary.
Here’s how it works:
- Peoitaly becomes the legal employer of your Italian worker.
- Your company retains full control of the employee’s day-to-day tasks, performance, and goals.
- We handle all local compliance, including contracts, payroll, tax filings, and employee benefits.
In short, you get a compliant local employment relationship — without the administrative burden.
What Makes Peoitaly Different
Many global EOR providers use standardized templates that overlook the nuances of Italian employment law.
Peoitaly was built in Italy, for Italy.
That means:
- Employment contracts drafted under the correct CCNL for each role and sector.
- Peoitaly holds a valid labour leasing (staffing) license to legally employ workers on behalf of its clients.
- Italian payroll managed locally, not outsourced.
- Integration of real local benefits — company cars, meal vouchers, credit cards, private health plans.
- Local HR and legal support in both Italian and English.
This local expertise ensures your employment setup isn’t just technically compliant — it’s culturally and legally correct within the Italian system.
Who Should Use an EOR in Italy
- Companies testing the Italian market before opening a branch.
- Startups and SMEs hiring their first Italian employee or contractor.
- Global firms needing to onboard remote Italian talent quickly.
- Project-based hires where establishing a local entity is not cost-effective.
Whether you need one employee or an entire local team, an EOR gives you a fast, compliant path to hire.
Why Compliance Matters
Non-compliance in Italy can result in:
- Fines for unregistered employment or incorrect contracts.
- Retroactive tax and contribution liabilities.
- Legal disputes under local labor laws.
A compliant setup protects both your company and your employees — ensuring all rights, contributions, and benefits are correctly handled from day one.
The Peoitaly Advantage
Peoitaly combines local employment expertise with international efficiency.
We manage:
- Onboarding and employment contracts
- Payroll and benefits administration
- Expense cards, allowances, and local perks
- Tax and social security compliance
- Ongoing HR support for employees and clients
Your team stays focused on business growth — while we handle the Italian complexity.
Hiring in Italy doesn’t have to mean months of paperwork or setting up a legal entity.
With Peoitaly as your Employer of Record, you can employ workers in Italy quickly, compliantly, and confidently.
Talk to our team to learn how we can help you onboard your first employee in Italy within days — fully compliant and locally supported.
