Moving a Sponsored Employee from an EOR to Your Own Italian Entity

An Employer of Record is often the first chapter, not the whole story. A company sends one person to Italy, then three, then opens an office. At some point it makes sense to have its own Italian entity. If some of those employees hold Blue Cards, the transfer needs a little more planning than usual.

Why companies move  

• The Italian team has grown and the entity’s fixed costs are now lower than the sum of EOR fees.
• The company needs a legal presence to sign contracts, sell or bid for projects.
• The group wants its own local management and payroll.

What the employee keeps  

A transfer from the EOR to your entity can be structured so that the employee keeps seniority, accrued leave and the employment history. The CCNL may stay the same or change if the new entity’s activity falls under a different one. The TFR accrued with the EOR is either paid out or transferred, depending on how the transfer is done and where the TFR has been going.

What the permit needs  

The Blue Card is linked to the employer. Under article 27-quater, in the first twelve months of legal employment, a change of employer requires the prior approval of the local labour office, deemed given if the office does not reply within 15 days. After twelve months, the holder has equal access to the labour market and the change follows the ordinary communication rules.

In practice:

• Transfers after the first year are simpler. If you can wait, wait.
• Transfers in the first year need the approval request, with the new contract terms, before the switch.
• In both cases the new employer must meet the Blue Card conditions: salary, qualification match, contract length.

At renewal, the permit is renewed with the new employer.

A transfer plan  

1. Set the date. Ideally after the first anniversary for Blue Card holders, and at the start of a month for payroll.
2. Ready the entity. Incorporated, bank account open, registered with the tax agency, INPS and INAIL, payroll set up.
3. Agree terms. Same salary or better, same level or higher, seniority recognised in writing.
4. Permit step. Request labour office approval if within the first year.
5. Close with the EOR. Final EOR payslip with the accrued items or a transfer of them, as agreed.
6. First payslip with the entity. Check it together with the employee.

Common mistakes  

• Starting the new contract before the approval in the first year.
• Lowering the salary to harmonise with local staff, taking it below the threshold.
• Forgetting the family: family members’ permits depend on the main permit holder’s status.
• Leaving the transfer to the last week of the permit’s validity.

How we help  

As the outgoing employer we prepare the transfer documents, calculate the final or transferred items, and coordinate the permit step with your new entity’s payroll provider. If you want, we can also run the entity’s payroll at €55 per payslip, so nothing changes for the employees except the name of the employer.

Should you keep the EOR for some people?  

Sometimes. Companies with people in several Italian cities, or with a mix of long-term staff and short projects, keep some employees with the EOR and move others. There is no rule that everyone must move at once.

In short  

Plan the timing around the first year of each Blue Card, keep salary and level at least the same, and do the permit step before the switch. Talk to us when you start planning the entity.

Frequently raised points  

Does the employee need a new visa? No, the transfer happens in Italy. The permit is updated, and renewed with the new employer.

Can the new entity use a different CCNL? Yes, if its activity falls under a different one. Check the salary still meets the threshold and the level matches.

What about employees who are EU citizens? Same transfer, without the permit step.

How long before the transfer should we start? Allow time for the entity’s registrations and payroll set-up, plus the approval step if it falls in the first year. Starting a few months ahead is comfortable.

Is there a cost to leave the EOR? The services agreement ends with notice. We prepare the final payslip or the transfer documents as part of the service.