Expanding into Italy is an exciting step for any business — but it comes with challenges. Many companies want to attract top Italian talent yet hesitate to set up a local subsidiary due to the time, costs, and ongoing compliance involved.
The good news? You can still offer employees stability, security, and competitive contracts in Italy without opening a legal entity — and doing so gives you a critical edge in a candidate-driven market.
Why Stability Matters in the Italian Job Market
In Italy, job security is a top priority for candidates. Permanent contracts (Contratto a Tempo Indeterminato) are considered the gold standard, and professionals often decline offers that appear “temporary” or “uncertain.” Without the right setup, foreign companies can seem risky to Italian talent — even if the role itself is attractive.
The Challenge: No Local Entity
Normally, to employ staff in Italy you’d need:
- A registered subsidiary or branch office
- A local payroll system
- Compliance with Italian labour law, tax, and social security
Local HR and legal infrastructure
This can take 6–12 months and require significant upfront investment — a major barrier for businesses testing the Italian market or hiring their first local employees.
The Solution: Partnering With an Employer of Record (EOR)
An Employer of Record (EOR) allows you to hire employees in Italy without setting up a legal entity. The EOR becomes the legal employer on paper, handling compliance, contracts, payroll, and contributions — while you maintain full control over the employee’s work, responsibilities, and career path.
What this means for candidates:
- They receive a compliant, stable Italian contract.
- Their salary, benefits, and social contributions are managed according to local law.
- They enjoy the same protections and security as if they were hired directly.
What this means for you:
- No delays in hiring — onboard within weeks, not months.
- No entity setup or ongoing admin burden.
- Ability to test the Italian market with low risk.
- Confidence that your contracts meet all legal requirements.
How to Provide Stability Through an EOR
To make your offers appealing while working through an employer of record (EOR):
- Offer permanent contracts where possible – candidates value long-term stability.
- Include standard Italian benefits – meal vouchers, transport allowances, and health coverage are widely expected.
- Communicate clearly – explain the EOR arrangement so candidates know they’re fully protected under Italian law.
- Show long-term commitment – highlight career paths and development opportunities within your organisation.
Final Thoughts
Providing stability in Italy without a legal entity is absolutely possible — and often the smartest way to grow. By working with an Employer of Record like Peoitaly, you can hire quickly, stay compliant, and present candidates with the security they expect.
Ready to expand into Italy without the cost and delay of setting up an entity? Talk to us today and start hiring with confidence.