The paradox

Civil servants forced to pay to anticipate Tfs: long delays and economic disadvantages lost

Previously, the Inps had gone so far as to grant a loan to give civil servants a severance payment in advance

by Gianfranco Ursino

INGRESSO PALAZZO WEDEKIND PIAZZA COLONNA ESTERNO SEDE INPS

2' min read

Translated by AI
Versione italiana

2' min read

Translated by AI
Versione italiana

Here we go again. In order to get their money from the INPS, parked in the Treatment of End of Service (Tfs), civil servants have to wait even years when they cease employment. And if they want to reduce the waiting time a little, they have to take into account that - to some extent - they also have to pay something to get what they are owed.

If for private sector workers, the Tfr is generally paid together with the last pay slip or, at the latest,within 30-45 days, in the public sector the timeframe is much longer: a legal dictate stipulates that to get the Tfr/Tfr, public employees have to wait one year in case of retirement due to reaching the age and service limits.

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The waiting time drops to three months in the case of disability or death of the employee, but rises to two years for all other cases of termination, such as dismissal, dismissal and early exit, with delays that not infrequently exceed the already long waiting times.

The Constitutional Court on Tfs/Tfr

The Constitutional Court has repeatedly urged the legislature to overcome the discipline of deferring the payment of severance pay/Tfr to public administration employees. A repeated solicitation that the State has repeatedly tried to circumvent with solutions that provide economic disadvantages for the holders of the sums set aside during their working years.

The Budget Law on Tfs/Tfr

The latest attempt is included in the Budget Law being finalised in parliamentary chambers these days. Article 44 of the initially deposited text envisages that the first instalment of the Tfs/Tfr will be paid after nine months (instead of 12), preventing, however, workers, who are only interested in the advance of three months, from accruing the right to the 1.5% tax de-taxation introduced by Article 24 of Decree-Law No. 4/2019 for payments made beyond the twelfth month.
The de-taxation served to partially compensate for the economic damage resulting from the long deferral of payment. It does not even cover inflation. Already a partial compensation, now the relief is reduced to zero, while the wait to get one's money is only reduced by three months. It is also not zeroed out.

Previously, in order to 'meet' the needs of pensioners, the Inps had gone so far as to grant a loan to 'advance' the Tfs to civil servants who were enrolled in the unitary credit and social benefits administration (the so-called Credit Fund). A loan at a subsidised rate of 1% plus a 0.50% deduction for expenses, which the pensioner had to pay, again to have his money available. A solution envisaged on an experimental basis for three years, but which was closed prematurely by the Mef after a little over a year (from 1 February 2023 to 24 April 2024) due to lack of resources, according to Plus24.

Now if even the solution in the Manoeuvre is rejected by the Constitutional Court, what will be the next ploy to penalise workers who only want to get their severance pay once they retire?

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  • Gianfranco Ursino

    Gianfranco UrsinoResponsabile Plus24

    Luogo: Milano

    Argomenti: Fondi comuni, Etf, Assicurazioni, Conti correnti, Conti deposito, Mutui, Polizze fideiussorie, Anatocismo, Usura, Risparmio postale, Libretti Coop, Banche, Borsa, Consob, Banca d’Italia, Abf, Acf, Oam, Ocf, Consulenza finanziaria, Fondi pensione, Casse di previdenza, Fintech

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