The government in Italy, from Five-star-movement and right-wing Lega has decided to withdraw its two controversial Central election promise to implement: From the first of April, a basic provision for all citizens to enter into force – a kind of Italian Hartz IV. From then on, should also be the retirement age in some cases, preferred. The Parliament must agree to the proposals within two months.

The Five-star movement had campaigned in the election campaign for the citizens wage, providing for 780 euros per month for a single person unemployed. This should not only supports the Weakest members of society, but also reducing unemployment, the government announced. The measure will cost the state, according to the party leader Luigi Di Maio 17 billion euros. The social insurance institution INPS expected to cost from 35 to 38 billion euros.

The government parties have also agreed on a pension reform: The so-called “Quota 100” according to the retirement age may be preferred when age plus years of contributions at least 100. The lower retirement age is to apply from April for Employees in the private sector and from August for public servants.

Eight billion euros for the pension reform, 2020

it is expected the withdrawal of The pension reform of 2011 was an important election campaign promise of the right-wing Lega Vice-head of government Matteo Salvini. This year alone the government expects to see in Rome, with a cost of four billion euros for 2020, there will be eight billion euros.

Italy’s government under Prime Minister Giuseppe Conte had delivered a week-long budget dispute with the EU Commission. Because of the expensive election promises, the Italian government takes a significantly higher level of borrowing than the previous government and said it was only under pressure to limit the budget deficit target of 2.4 to 2.04 percent.

The country in an excessive deficit procedure by the EU Commission threatened to before. The authority criticised, especially the debt of the Italian state, which amount to well 131 percent of economic output.


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