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Salary due to employees even if business activity is suspended due to Covid-19 – Property Resource Holdings Group

Salary due to employees even if business activity is suspended due to Covid-19

Employers cannot stop paying salary even when business activity is suspended due to COVID-19. Indeed, according to the Labour Courts of Bologna, the employer's decision to temporarily shut down business activity during COVID-19 does not constitute a force majeure event that can justify the suspension of payment of salaries to employees. Such a decision is to be seen as a risk typically inherent to the performance of business activity - something that does not have an impact on the employees' right to salary.

Employers cannot stop paying salary even when business activity is suspended due to COVID-19.


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Indeed, according to the Labour Courts of Bologna, the employer’s decision to  temporarily shut down business activity during COVID-19 does not constitute a force majeure event that can justify the suspension of payment of salaries to employees. Such a decision is to be seen as a risk typically inherent to the performance of business activity – something that does not have an impact on the employees’ right to salary.