Manoeuvre 2025: contribution wedge cut and Irpef reshaping for 22 million workers

In the manoeuvre 2025 the government is aiming at the confirmation of a package of measures to give a boost to the wages of workers, a series of interventions costing more than 15 billion are being discussed. The highlight is the confirmation for 2025 of the cut in the contribution wedge of 7 points for salaries up to 25 thousand euro gross per annum and 6 points up to 35 thousand euro. The measure is affecting about 14 million employees with a benefit of about EUR 100 per month in the pay packet. For the confirmation of the measure, on which the Prime Minister, Giorgia Meloni, has all agreed, 9.4 billion euro are needed. Another pillar is the confirmation of the remodulation of the Irpef rates, cut from four to three, as a basic hypothesis that alone is worth 4 billion. Within the majority, primarily the League is pushing for a possible additional intervention both to reduce the intermediate Irpef rate from 35 to 33% and to raise the bracket limit, beyond which the 43% rate is triggered, to 60 thousand euro. This new measure would involve about 8 million workers, representatives of the so-called middle class, with an additional cost that can be estimated at 4 billion.

The 5% taxation for productivity bonuses of up to EUR 3,000 for incomes of up to EUR 80,000 is also moving towards confirmation; the incentive expires at the end of the year (the previous taxation was 10%). This measure is considered a priority by the Minister of Labour, Marina Calderone, together with interventions in favour of parenthood. Also because the measure is working. As of mid-July, according to the latest data from the Ministry of Labour, there were 15,186 active contracts providing for performance bonuses, 23.9 per cent more than at the same date in 2023. A total of 4.4 million workers - more than 3 million with company contracts and 1.4 million with territorial contracts - are benefiting from the measure, which is paid an average annual amount of €1,509.

More delicate is the game of the mothers' bonus, expiring at the end of the year, the (experimental) one for working mothers with at least two children, who number about 570,000, and who are currently benefiting from this reinforced incentive (zeroing of dependent contributions until the youngest child turns ten). For working mothers with at least three children this incentive is three years. Government technicians are trying to contain costs to confirm the intervention for working mothers with two children; the alternative is to let it expire.

Another issue with a significant impact on workers' purchasing power is fringe benefits. After Minister Calderone's opening in recent days, the list of goods and services that can be paid to workers within the tax-free fringe benefits, whose thresholds have been raised (but only for this year), could be extended. As a result of the last manoeuvre, for the tax year 2024, the amounts payable through tax-free fringe benefits increased from EUR 258.23 to EUR 1,000 for all employees. For employees with dependent children for tax purposes, the exemption limit for fringe benefits rises to EUR 2,000. This includes sums paid or reimbursed by the employer for the payment of domestic utilities for the integrated water service, electricity and natural gas, as well as expenses for rent or mortgage of the first home. Contributions to supplementary healthcare could be added to these items. A slice of the majority is pushing to standardise the ceiling of tax-free fringe benefits, raising it to 1,500-2,000 for everyone, resources permitting. Open reflection in the government, then, on the 120/130% super deduction, also in this case the intention is to confirm it.

Turning instead to public employment, the hypothesis being studied is to allow the PA to identify personnel who, on a voluntary basis, can be retained in service, even beyond the 67 years of age envisaged for retirement - but not beyond the 70th year of age - to carry out tutoring and coaching activities, or for functional needs that cannot otherwise be met. The choice to remain in service will be made not only by the employee, but also by the administration to which he or she belongs.