"Southern European countries, with their apparently high degree of collective bargaining centralisation and state regulations, may seem to be little affected by the EU Directive on adequate minimum wages. This article looks at the case of Italy, the EU country generally reported to have the highest collective bargaining coverage in Europe, to show how the situation on the ground is more problematic than conventional indicators suggest. Not only does Italy lack a national minimum wage and a legal framework for collective bargaining extension, but its apparent high level of collective bargaining coverage is vulnerable to wage dumping practices. The article identifies the weaknesses of the Italian system and proposes some possible lines of reform."

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