In Italian labor law, an absorbable pay supplement is an additional salary
element that exceeds the minimum wages of the applicable collective bargaining agreement
(CCNL) and may later be “absorbed” against certain wage increases.
The absorbable pay supplement can be offset against future wage increases – i.e., it can
be gradually reduced. Typical cases include:
- Increase in minimum wages due to CCNL renewal
- Change of category
-
Introduction of new contractual elements
(e.g., third wage element in the collective agreement for trade and services)
Example:
- CCNL minimum wage: €1,500
- Absorbable pay supplement: €500
- Total gross wage: €2,000
If the CCNL minimum wage increases by around €200 (to €1,700), the employer can offset
this increase against the absorbable pay supplement:
- New minimum wage according to CCNL: €1,700
- Absorbable pay supplement: €300 (€500 – €200)
- Total gross wage remains: €2,000
The employee therefore does not experience a real wage increase, as the increase merely
offsets the previously granted “advantage”.
Wage components that cannot be absorbed
Certain wage components may generally not be “used up” via an absorbable pay supplement:
-
Seniority allowances
These are based on their own legal basis and may not be absorbed by an absorbable pay
supplement.
-
Wage components protected by the CCNL
If the collective agreement stipulates that certain increases or allowances are
non-offsetable, this rule takes precedence.
-
Expenses and social benefits
Pure cost reimbursements (travel expenses, meals, accommodation) do not constitute
remuneration and cannot be used as an absorbable pay supplement.