Blue Print - Italy

Some Statistics about Italy 2016/2017

Demographic: - inhabitants: 60,579 mill (men 48%; women 52%) o Nationals: 55,550 mill o Non-nationals : 5,029 mill

- average age: 44,9 - life expectancy: 80,6 years for men, 85 for women - fertility rate: 1,34

Education: - early school leavers. 14,7% - expenses used on education: 4% of GDP

Political: - women in parliament: 31,4% - female ministers: 33,3%

Economics: - GDP pr. capita: 38328 US$ - Average tax: 43,5 of GDP - Gini-coefficient: 0,325 - Support to developing countries: 0,22% of GDP - public debt: 132% of GDP Unemployment: 11,7% Other things: - emission of CO2 pro capita: 5,6 tons - HDI (Human Development Index): 0,887 (rank 26 in the world) - mobile phones: 86,9 % - internet users: 75,2 %

Introduction.

Italy is a relatively young country: as a kingdom it was born in 1860 and became a republic in 1946. It covers a quite large area, a peninsula stretching from north to south in the Mediterranean sea. It is made up of 21 regions divided into 107 provinces, different in climate, history, tradition, language and way of life. Also economic and social problems are often different and dissimilar the approaches to face them.

Five regions – Aosta Valley, Friuli Venezia Giulia, Trentino-South Tyrol, Sardinia and Sicily – enjoy particular forms and conditions of autonomy . Italian is the official language but French in Aosta Valley and

German in South Tyrol are co-official and other 12 minority languages are protected.

The Political Level

Above all the diversities a strongly unifying element is our Constitution, which was approved in 1948 after the devastating experience of WW2, fascist dictatorship and civil war. The fist article of the Italian Constitution states that

Italy is a democratic Republic founded on labour. Sovereignty belongs to the people and is exercised by the people in the forms and within the limits of the Constitution.

Italian Democracy

CounlMunicipalities, Provinces, Regions

The elections of citizens’ representatives and administrators is the most significant aspects of a democracy . In Italy four levels of political elections can be distinguished: the Comune (municipality), the Province, Regional and National Parliament .

The comune provides many of the basic civil functions: registry of births and deaths, registry of deeds and contracting for local roads and public works. It is headed by a sindaco (mayor) assisted by a legislative body, the consiglio comunale (communal council), and an executive body, the giunta comunale (communal

committee), chaired directly by the mayor. Many comuni also have a municipal police, which is responsible for public order duties.

A province is composed of many comuni. Several provinces together form a region; the region of is the sole exception because it is not subdivided into provinces, and provincial functions are exercised by the region. The three main functions devolved to provinces are:

 local planning and zoning;  provision of local police and fire services;  transportation regulation (car registration, maintenance of local roads, etc.).

According to the 2014 reform, each province is headed by a President (or Commissioner) assisted by a legislative body, the Provincial Council, and an executive body, the Provincial Executive. President (Commissioner) and members of Council are elected together by mayors and city councilors of each municipality of the province. This reform hasn’t been completely implemented yet. In each province, there is also a Prefect who is a representative of the central government.

Every Italian region has a statute that serves as a regional constitution, determining the form of government and the fundamental principles of the organization and the functioning of the region, as prescribed by the Constitution of Italy. As said before, fifteen regions have ordinary statutes and five have special statutes, granting them extended autonomy. These regions became autonomous in order to take into account cultural differences and protect linguistic minorities. Moreover, the government wanted to prevent their secession from Italy after the Second World War.

The Italian Parliament consists of the Chamber of Deputies which is elected by direct and universal suffrage, by voters who are eirhteen years of age, and the Senate of the Republic is elected by universal and direct suffrage by voters who are twenty-five years of age. The election of the National Parliament is f the most relevant expression of popular sovereignty.

The Chamber of Deputies and the Senate of the Republic are equal in their functions and powers. For this reason, the Italian Parliament is said to be "bicameral". Parliament approves legislation, steers and monitors the activities of the Government, enquires into matters of public interest, and grants and revokes confidence in the Government. Sitting in joint session, and with the attendance also of regional delegates, Parliament elects the President of the Republic.

The last general election of the Italian Parliament took place in February 2013 with the following result :

Senate Chamber of Deputies

The Senate is composed of 315 elected The Chamber of Deputies is composed of 630 senators (half of the Deputies) elected members + 5 lifetime senators + former Presidents of the Italian Republic

( Partito Democratico: 45% (center-left) Partito Democratico: 31% (center-left) Movimento Democratico e Progressista: 7% (left) Movimento Democratico e Progressista: 5% (left) 5 Stelle : 14% (populist movement) Forza Italia: 13% (center -right) Forza Italia: 9% (center-right) 5 Stelle : 11% (populist movement) Scelta Civica: 5% (center) Nuovo Centro-destra: 9% (center-right) with Civici with Alternativa Popolare Sinistra Ecologia Libertà: 3% (left) Scelta Civica and others: 4% (center) with Sinistra Italiana

Lega Nord: 3% (right) Nuovo Centro-Destra : 3 % (center-right) with Alternativa Popolare Sinistra Ecologia Libertà: 2% (left) with Sinistra Italiana Lega Nord: 3% (right)

Minor parties (Mixed groups) 21% Minor parties (Mixed groups) 11%

The following graphic tries to classify the different political position of the main parties in our parliament

Today the government, resulting from a center-left mixed coalition with 13 ministers) is led by PD member Paolo Gentiloni ( the third Prime Minister, or Presidente del Consiglio dei Ministri since 2103). As it has happened in other countries citizens have the impression that the members of the government and the members of parliament are quite distant from the electors and ignore their needs, problems and expectations. The frequent changes of Italian political scenery, the merging and splitting of political parties, with Members of Parliament shifting from a party to another, – “They change their blouse “ Italian journalists say - increase citizens’ disaffection for political participation.

An exception can be considered the most eminent and representative political persons in Italy :

The President of the Italian Republic Sergio Mattarella, highly estimated jurist, elected in 2015, whose brother Piersanti, President of the Regional Government of Sicily, was killed by mafia.

The President of the Senate of the Republic Pietro Grasso, a The President of the Chamber of Deputies Laura Boldrini , strong judge who has fought against corruption, mafia d fender of human rights and other forms of organized crime..

The assemblies and the roles of the two branches of Parliament are often identified with their seats in Rome: Palazzo Madama for the Senate of the Republic and Palazzo Montecitorio for The Chamber of Deputies. Palazzo Chigi is the seat of the Presidency of the Council of Ministers and the President of the Italian Republic lives in a Palace on Quirinal Hill, defined by Mr Ciampi, former Italian President, as “Italians’Home”.

Palazzo Madama, seat of the Senate of Italian Republic (XV century)

Palazzo Montecitorio , seat of the Chamber of Deputies (XVII century)

Quirinale Palace, where the President of Italian Republic resides (XVI century)

Economic Level

Article 41 of Italian Constitution

Private-sector economic initiative is freely exercised. It cannot be conducted in conflict with social usefulness or in such a manner that could damage safety, liberty and human dignity. The law shall provide for appropriate programmes and controls so that public and private-sector economic activity may be oriented and co-ordinated for social purposes.

Italy is an example of mixed economy. This type of economy combines elements of both free market and planned economy: private companies are free to compete for most goods and services, but the State provides other services such as public transport, educational and health care. The State also provides the legal instrument to control that “public and private economic activity is given direction and coordinated to social objectives”.

In the Italian economy, the service sector accounts for almost three-quarters of the GDP, industry 23.6 per cent and agriculture 2.2 per cent, with the business world being made up of small and medium-sized enterprises and only a few large industrial groups. After the years of the economic crunch, the Italian economic cycle showed a mild improvement in 2015: in particular, Italy's GDP marked some growth (+0.8 per cent), with a contribution by household consumptions and available income. Also investments showed a positive sign in spite of the weakness of the general context. Improved trade conditions and an increase in domestic demand fostered an increase in imports (+6 per cent), while exports continued to pick up speed (+3.8%), thus maintaining their share of the European and world markets.

In this phase of slow moderate economic recovery, Italy continues to be one of the five Countries in the world with a manufacturing surplus exceeding 100 billion dollars. In addition, Italian companies are among the most competitive in the world; indeed, Italy is among the top three world exporters for about 20 per cent of products.

Since the country’s manufacturing sector is specialized in high-quality goods, Italy plays an important role in the global market of luxury goods. The country’s main exports are mechanical machinery and equipment, which account for around 24% of total exports, as well as motor vehicles and luxury vehicles (7.2%). Home to some of world’s most famous fashion brands, Italy occupies a special niche in the global market of fashion and clothing. In fact, exports of clothing and footwear account for around 11.0% of the country’s total exports. Other important exports include electronic equipment (5.6%) and pharmaceutical products (4.6%).

But the Italian economy is also based on another important pillar, tourism, thanks to its invaluable natural, archaeological and artistic heritage. Italy has a total of 53 sites inscribed on the UNESCO List, making it the country with the highest number of World Heritage Sites that are present across the entire Country: from the Langhe landscapes in the North to the Arab-Norman domes of Palermo and, obviously, the Eternal City in the centre. The historic-artistic heritage of our Country comprises hundreds of archaeological sites and over 3000 museums that can all be visited.’

Italians are very proud of living in one of the most beautiful country in the world, il ‘Bel Paese’, and tourism is one of the most important items for the Italian economy: in 2015 foreign visitors to our Country spent almost 36 billion euros, namely 7.2 per cent of the total value of exports (with an absolute surplus for our tourism balance) and estimates suggest it will grow even further in the next few years.

Recent data indicate that tourism in Italy accounts for 11.8 per cent of the national GDP and 12.8 per cent of jobs, considering direct and indirect impact and satellite activities, for an overall value of 171 billion euros and 3.1 million jobs.

On the other side, Italy’s main imports are fuels, which account for around 17% of total imports. This is due to the country’s lack of natural resources, which makes it highly dependent on energy imports. Other imports include machinery (14.2%), raw materials (10.0%) and food (7.0%).

The positive figures and optimistic comment on the economic recovery expressed on the Italian Foreign Affair site are supported by a report of OECD published in February 2017.

But the recovery is quite slow and Public Debt still high, 132% of GDP

The same OECD economic survey of Italy highlights the most urgent challenges :  Slow productivity and investment growth  More jobs are needed as well as better skills  Unemployment and poverty (mostly among young and children) must be brought down  Invest in Research and Development  Skills must be improved

Unemployment is by far the most worrying problem in Italian society and economy. The following statistic shows the still existing gap between genders and geographical areas

SEX males 11,3 females 12,7 GEOGRAPHICAL AREA north 8,1 centre 10,6 south and 18,4 islands

ITALY 11,9

These official figures published by ISTAT (Istituto Italiano di Stastica) could be considered less reliable than we may think as they include job seekers only, while social workers assure that there is a considerable amount of disappointed and frustrated unemployed people who do not even look for an occupation. Moreover, the number of Italians emigrating from their home country more than doubled in the last ten years and not much has been done to prevent an increasing brain-drain of skilled labour. Youth unemployment rates 43%.

Italian Welfare State

From the Italian Constitution , Title II: Ethical and Social Rights and Duties

Art. 31 The Republic assists the formation of the family and the fulfilment of its duties, with particular consideration for large families, through economic measures and other benefits. The Republic protects mothers, children and the young by adopting necessary provisions.

Art. 32 The Republic safeguards health as a fundamental right of the individual and as a collective interest, and guarantees free medical care to the indigent.

Art. 34 Schools are open to everyone. Primary education, given for at least eight years, is compulsory and free of tuition. Capable and deserving pupils, including those lacking financial resources, have the right to attain the highest levels of education. The Republic renders this right effective through scholarships, allowances to families and other benefits, which shall be assigned through competitive examinations.

Art. 36 Workers have the right to a remuneration commensurate to the quantity and quality of their work and in any case such as to ensure them and their families a free and

dignified existence. Maximum daily working hours are established by law. Workers have the right to a weekly rest day and paid annual holidays. They cannot waive this right.

rt. 38 Every citizen unable to work and without the necessary means of subsistence is entitled to welfare support. Workers have the right to be assured adequate means for their needs and necessities in the case of accidents, illness, disability, old age and involuntary unemployment. Disabled and handicapped persons are entitled to receive education and vocational training. Responsibilities under this article are entrusted to entities and institutions established by or supported by the State. Private-sector assistance may be freely provided.

What was promised by Italian Constitution in 1948 has been formally maintained. Italian Servizio Sanitario Nazionale (National Health Service) was born as a public and universal system to provide medical care to all citizens, regardless of income. Subsequently, however, the financial situation necessitated the introduction of a “ticket” to users, based on the tariffs defined by the Regions and the cost-benefit analysis of the examinations, medicines and income. Education is compulsory from the age of 6 to 16, and the last two years are not free of tuition and books are not free nor provided by school. Actually today Italian welfare (27.3 of GDP) is characterised by numerous imbalances, including an uneven distribution of protection and costs, and a worrying deficit between contributions and outlays. The main challenges Italian welfare can be considered

• regional disparities, mainly between north and south of Italy, which negatively affects the equality of all citizens and promotes “medical tourism” in order to benefit from the services offered by the most developed regions; • the aging of the population, which endangers the economic sustainability of the pension system;

• the decreasing birth rate ;

• the low level of participation of women in the labour market. Women, in fact, not only usually enter the labour market at the end of their studies but suffer from a higher rate of unemployment and expulsion from the labour market than men (and often get lower salaries);

• immigration: Italy has a lower rate of immigration than the European average, including most of all first-

generation immigrants who tend to stay out of the social security system even when they are not illegal immigrants.

Recent reforms on labour market, education system, health care system and public administration are expected to lead to an effective coordination between policies and resources and bring real benefits in terms of productivity and efficiency in welfare management.

The Civil Society

From the Italian Constitution Art. 2 The Republic recognizes and guarantees the inviolable rights of the person, both as an individual and in the social groups where human personality is expressed. The Republic expects that the fundamental duties of political, economic and social solidarity be fulfilled. Art. 118 The State, regions, metropolitan cities, provinces and municipalities shall promote the autonomous initiatives of citizens, both as individuals and as members of associations, relating to activities of general interest, on the basis of the principle of subsidiarity.

Doing Something 4 Nothing: Unpaid activities to benefit others in Italy.

The outcomes of the most recent official survey on voluntary work date back to 2013, resulting from an agreement between Istat, CSVnet (National Coordination of Volunteer Support Centres) and the Volontariato e Partecipazione Foundation. Approximately one out of eight Italians does unpaid activities to benefit others or the community. In Italy the number of volunteers is estimated at 6.63 millions people (total volunteering rate equal to 12.6%) doing something for nothing for associations, foundations, NGOs, non-registered volunteering groups.

- 4,414 millions citizens did their activity through a group or an organization (organisation-based volunteering rate equal to 7.9%) and three millions were directly involved (direct volunteering rate equal to 5.8%)

- Volunteer work is more widespread in the North of the Country. The highest volunteering rate was recorded in the North-East (16%), while the South area is characterised by a noticeably lower participation rate (8,6%).

- Men were more active than women (13.3% against 11.9%), due to greater male participation in

organisation-based volunteering. Volunteers belong mainly to the 55 - 64 age group (15.9%). The contribution of the young and the old in terms of active involvement is, instead, lower than the national average.

- The share of those performing voluntary activities grows with educational level. 22.1% of university graduates experienced volunteering against 6.1% of those who only completed primary schooling. Considering the occupational level, those in employment (14.8%) and students (12.9%) were the most active. Participation is, moreover, at the highest among the members of more affluent families (23.4%) and at the lowest among members of families with entirely insufficient means (9.7%).

23.2% of volunteers is active in religious groups/organisations, 17.4% in cultural and recreational activities, 16.4% in the health sector, 14.2% in social services and emergency intervention, 8.9 % in sports, 3.4% in environment 3.1% in education and research.

62.1% of organization-based volunteers performed their activities because they believed “in the cause promoted by the group/organization”. 49.6% of those volunteering stated they felt better about themselves. More recently young people have also discovered that the presence of volunteering activities in a CV is highly appreciated by human resources managers because of the skills that can be acquired through volunteering:

 The ability to work in a team  Leadership  Problem solving and adaptability  Improved interpersonal and communicative skills  The ability to plan and prioritise work  Time management  Reporting

Main sources: www.senato.it www.camera.it www.esteri.it

OECD Economic Surveys Italy 2017 www.istat.it www.eurostat.it

This project has been funded with support from the European Commission. This publication reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein.