# FAQ for Nordic Companies

> Answers for Swedish, Norwegian, Danish and Finnish companies hiring in Italy through an Employer of Record: process, cost, employment rules, equity, benefits and data.


<section> <span class="eyebrow">FAQ</span> <h1 id="what-nordic-companies-ask-us">What Nordic companies ask us</h1> <p class="lede">Direct answers. If your case is specific, send it to us and we answer that instead.</p> </section> <section class="prose"> <h2 id="the-model">The model</h2> <h3 id="what-does-an-employer-of-record-do">What does an Employer of Record do?</h3><p>It employs the person in Italy on your behalf. We hold the Italian contract and run payroll. You decide the work.</p><h3 id="do-we-need-an-italian-entity-or-branch">Do we need an Italian entity or branch?</h3><p>No. Avoiding that is the purpose of the service.</p><h3 id="who-manages-the-employee">Who manages the employee?</h3><p>You: tasks, priorities, tools, one-to-ones, reviews.</p><h3 id="how-quickly-can-someone-start">How quickly can someone start?</h3><p>EU and EEA citizens, including Swedes, Danes, Finns, Norwegians and Icelanders, can usually start a few days after signing. Non-EU hires take longer, depending on the permit.</p><h3 id="can-we-convert-a-freelancer">Can we convert a freelancer?</h3><p>Yes, typically within 30 days.</p><h3 id="part-time-and-fixed-term">Part-time and fixed-term?</h3><p>Both are normal in Italy. Fixed-term contracts have limits on length and renewals.</p> </section><section class="prose"> <h2 id="money">Money</h2> <h3 id="what-does-it-cost">What does it cost?</h3><p>€250 per employee per month, plus the employment cost invoiced monthly on actuals.</p><h3 id="what-is-the-employment-cost">What is the employment cost?</h3><p>Gross salary, employer contributions, 13th month (and 14th where the CCNL has it), TFR, CCNL funds, and any benefits or expenses you approve.</p><h3 id="which-currency">Which currency?</h3><p>SEK, NOK, DKK or EUR, at the EUR reference rate of the invoice date, without spread.</p><h3 id="how-does-the-cost-compare-with-a-swedish-hire">How does the cost compare with a Swedish hire?</h3><p>Employer contributions are about 30% in Italy against 31.42% in Sweden; Italy adds the 13th month and the TFR. See <a href="italy-vs-sweden.html">Italy vs Sweden</a> and the <a href="calculator.html">calculator</a>.</p><h3 id="is-there-a-deposit">Is there a deposit?</h3><p>Yes: one month's estimated employment cost, refundable, plus the first month paid in advance. Every following month is paid in advance and adjusted to actuals.</p><h3 id="what-about-permits">What about permits?</h3><p>€2,500 per case for the work permit and visa.</p><h3 id="we-already-have-an-italian-company">We already have an Italian company.</h3><p>Then we can run your payroll at €55 per payslip.</p> </section><section class="prose"> <h2 id="employment-rules">Employment rules</h2> <h3 id="is-dismissal-similar-to-las">Is dismissal similar to LAS?</h3><p>In principle: a valid reason and a procedure are required. In practice the Italian procedure is more formal, and redundancy selection does not follow the Swedish turordning. Probation, up to 6 months depending on the CCNL, is when either side can end it freely.</p><h3 id="how-much-holiday">How much holiday?</h3><p>At least 4 weeks by law, plus public holidays. Most CCNLs add paid hours off.</p><h3 id="do-we-need-health-insurance">Do we need health insurance?</h3><p>No. Italy has a tax-funded national health service. Where a CCNL adds a supplementary health fund, its contribution is part of the employment cost.</p><h3 id="what-is-the-tfr">What is the TFR?</h3><p>A yearly accrual of about 6.91% of pay, owed when employment ends. We pay it monthly into a pension fund the employee chooses.</p><h3 id="is-a-ccnl-like-a-kollektivavtal">Is a CCNL like a kollektivavtal?</h3><p>Close. It sets pay floors, levels, hours, notice and benefits for a sector. The difference: it applies to every employee from day one.</p><h3 id="can-we-use-a-non-compete">Can we use a non-compete?</h3><p>Yes, if written, paid, and limited in time, place and scope.</p><h3 id="who-owns-the-work">Who owns the work?</h3><p>Your company. Our contracts contain an IP assignment and confidentiality clause.</p> </section><section class="prose"> <h2 id="equity-benefits-data">Equity, benefits, data</h2> <h3 id="can-the-employee-join-our-share-programme">Can the employee join our share programme?</h3><p>Yes. Italian tax treatment depends on the plan. <span class="review">[confirm option/RSU treatment]</span></p><h3 id="what-benefits-are-normal-in-italy">What benefits are normal in Italy?</h3><p>Electronic meal vouchers (tax-free up to €10 a day), a company car, supplementary pension and health cover, and fringe benefits within €1,000 a year, or €2,000 for employees with dependent children.</p><h3 id="where-is-the-data">Where is the data?</h3><p>On servers we run in the EU, processed under GDPR.</p><h3 id="can-the-employee-work-from-sweden-for-a-while">Can the employee work from Sweden for a while?</h3><p>Short trips, yes. Longer periods abroad can move tax and social security to another country, so tell us before.</p><h3 id="and-if-we-open-our-own-company-later">And if we open our own company later?</h3><p>We transfer the employees with their seniority, and help with the setup through our partners.</p> </section><section> <div class="cta"><a class="btn" href="contact.html">Ask a question</a><a class="btn ghost" href="calculator.html">Estimate a cost</a></div> </section>


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Source: https://italyteams.com/faq.html
