Dismissal for Just Cause Without Prior Disciplinary Notice: The Italian Supreme Court Confirms Reinstatement

The Supreme Court’s Ruling

With Order No. 28927 of November 11, 2024, the Italian Supreme Court (Corte di Cassazione) reaffirmed a key principle in employment law: when an employer terminates a worker for just cause without first issuing a formal disciplinary notice, the dismissal is unlawful, and the employee is entitled to reinstatement. While this interpretation is in line with previous case law, it reinforces the importance of procedural safeguards in disciplinary dismissals.

The Case Before the Courts

The dispute arose from the dismissal of a worker for just cause. On appeal, the Naples Court of Appeal partially overturned the lower court’s decision and ruled the dismissal unlawful, finding that no prior written disciplinary notice had been issued before the termination. The court classified the dismissal as disciplinary and applied the reinstatement protection provided under Article 18, paragraph 4 of Law No. 300/1970 (the Workers’ Statute), as amended by Law No. 92/2012 (the so-called Fornero Reform), instead of the indemnity-based protection in paragraph 6.

The Employer’s Appeal to the Supreme Court

The employer appealed the decision to the Supreme Court, raising four main arguments. The core of the appeal was that the lack of prior disciplinary notice should be treated as a procedural irregularity, not a substantive defect. As such, the employer argued that only financial compensation (not reinstatement) should be awarded under paragraph 6 of Article 18.

The appeal also claimed that the worker had not demonstrated the non-existence of the alleged misconduct, and that the appellate court’s decision lacked proper justification. Furthermore, it was argued that certain parts of the lower court ruling were res judicata (final and binding) and should not have been reassessed.

The Supreme Court’s Assessment: No Notice, No Valid Dismissal

The Supreme Court rejected the appeal in full, reaffirming that a prior written disciplinary notice is not merely a formal requirement, but a substantive and essential component of a lawful disciplinary procedure. In the absence of this notice, the entire dismissal process is deemed legally void.

Citing prior case law (including rulings No. 25745/2016 and No. 4879/2020), the Court emphasized that the complete lack of prior notice constitutes a fundamental procedural breach and leads to the application of reinstatement protection, as the dismissal lacks justification altogether.

Differentiating Between Procedural Errors and Lack of Justification

The Court clarified that not all procedural violations are equal. The absence of a disciplinary charge does not fall under the category of minor procedural flaws that trigger mere compensation. Rather, it prevents any assessment of the existence and seriousness of the alleged misconduct and thus undermines the very foundation of the dismissal. For this reason, the case falls within the scope of paragraph 4, not paragraph 6 of Article 18.

The Court also addressed the phrase in paragraph 6 that allows for stronger protections “if the judge finds a lack of justification.” It ruled that this clause does not preclude the application of reinstatement where no prior notice was given—in fact, the absence of notice itself evidences a lack of justification.

Implications for Employers and Employees

This decision reinforces a key tenet of Italian labor law: procedural compliance is essential. Employers must issue a formal and timely disciplinary notice when considering a dismissal for just cause. Failing to do so not only violates the worker’s right to defense, but also renders the entire dismissal unlawful. The consequence? Full reinstatement of the employee, with all the associated legal and economic ramifications.

For businesses, this underscores the importance of adhering strictly to the procedures outlined in Article 7 of the Workers’ Statute. For employees, it highlights the power of legal protections in defending against unfair dismissal.

Conclusion

With Order No. 28927/2024, the Italian Supreme Court has once again emphasized that dismissals without prior disciplinary notice are not just flawed—they are invalid. When a dismissal is issued without this critical procedural step, it is considered unjustified under the law, and the employee must be reinstated.

This ruling strengthens the balance between employer authority and employee rights, confirming that fairness in substance must be matched by fairness in procedure.