Italy • • • 🌿 Progressive

Un maestro artesano mayor enseña a una joven aprendiz a tallar madera en un taller italiano luminoso
Imagen alusiva al relevo generacional en los talleres artesanos italianos. · Imagen generada para EPM

Italy to reform 1985 craft law after more than 40 years

Italy will approve today a decree reforming the 1985 craft framework law after more than 40 years, with fewer bureaucratic obligations, freedom to organise in…

--- The context --- Italy is approaching this announcement with a craft sector that supports jobs, local communities and export strength. Speaking to the Confartigianato General Assembly in Rome, President of the Council of Ministers Giorgia Meloni placed that weight in concrete figures, recalling exports worth EUR 644 billion and fourth place in the global ranking of exporting nations. She also argued that skilled manual work remains an answer to an increasingly impersonal and standardised economy, because every workshop that opens and survives keeps a community alive, passes on a trade and preserves knowledge that cannot be copied or easily moved elsewhere. --- The facts --- The central development is imminent. Today, at the Council of Ministers, after more than 40 years, the Government will approve a decree reforming the craft industry framework law dating back to 8 August 1985. The reform reduces bureaucratic obligations and recognises the freedom to organise production, administration and management also in different locations and areas, without losing artisan status. It also sets a clear principle on ownership: in a craft business, those who work with their own hands must continue to count more than those who merely provide the capital. That logic is completed by another measure announced through the budget law. A company that starts off as a craft business and has held that status for at least seven years will be able to keep it even if it decides to increase its number of staff, paying particular attention to skilled workers and apprentices. Growing will therefore no longer mean giving up a production identity, a contradiction that, in the account given by the President of the Council of Ministers, punished precisely those who had performed well and wanted to take the next step within the sector. --- The positions --- The Government presented the reform as part of a wider strategy of protection and growth. The annual law on small and medium-sized enterprises already reserved the terms craftsmanship and handcrafted to those duly enrolled with the register of craft businesses and directly producing goods and services classed as handcrafted. Since 2023, more than 30,000 open and close businesses have been shut down after operating briefly without paying taxes and reopening under a different name. On credit, the relaunch of Artigiancassa combines mixed public and private governance involving Mediocredito Centrale with an initial fund of EUR 50 million at the ministry led by Adolfo Urso. --- What remains unknown --- The final text of the decree, its implementation timetable and the exact way administrations will check artisan status when production and management are in different locations still need to be known. The speech also did not detail how that flexibility will be coordinated with controls against fraud, nor what follow up the EUR 50 million fund will have once it begins financing investment programmes and eligible business development projects for companies in the sector that need support to grow without losing their craft character. --- Unanswered questions --- When will the new freedom to organise in different locations without losing artisan status take full effect in practice? What concrete criteria will ensure that those who work with their hands continue to count more than those who only provide capital? How will fewer bureaucratic obligations be prevented from opening space for new open and close abuses? Will the EUR 50 million fund be enough to meet the real credit demand of the smallest workshops across the country? --- EPM analysis --- The reform links protection, credit and the future workforce in a single package. For generational handover, companies can encourage master craftspeople nearing retirement to go part time, waiving social security contributions for up to EUR 3,000 per year, provided a young person under the age of 35 is hired on a permanent contract. The Transition 5.0 Plan made almost EUR 10 billion available, with more than 27,000 projects submitted and approximately EUR 8 billion mobilised, while a tender worth EUR 450 million supports small and medium-sized enterprises in the Mezzogiorno investing in new technologies. Technical enrolments have almost quadrupled and employment is above 80% a year after graduation. 📌 EPM Take: In EPM's view, the value of this reform will be measured less by the announcement than by its ability to turn formal rights into workshops that stay open, credit that arrives on time and young people learning a trade on stable contracts. Protecting the craft name, closing open and close businesses and extending Protected Geographical Indications in the European Union to non-food craft and industrial products all point in the same direction, defending real work against imitation. If the decree cuts burdens without weakening controls and if generational handover works in practice, Italy will have taken a serious step so that growing no longer forces a business to stop being artisan.
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