Formalities in startups

A company is a functional system because it consists of elements that must be specialized and coordinated in order to be able to jointly achieve a common result. Attention to the systemic nature of the company is aimed at focusing on the need for individual business functions, the solutions of specialists to solve business problems, act in concert and interact. This need stems from specialized impulses, which otherwise lead to the fact that the organization is too much divided into separate parts with little dialogue between them.

Commercial formalities. It is necessary to reform the formalities of the company. A company is defined as an open system in which attention is paid to its essence as an organization, which, in order to live, must maintain relations and exchange relations with other external systems. This adjective wants to emphasize the need for the company to know, engage in dialogue and interact with an environment that is becoming increasingly complex and turbulent. The company is a socio-technical system, because it is characterized by a technical component and a social component, which is certainly more important because the company’s activities are associated with the coordinated activities of many internal and external groups among which they are developing. cooperation and conflict.

During this period, contracts can also be short-term and renewed several times, without observing the usual conditions (10/20 days) or even without interruption. After 36 months, the contract can be additionally extended only once, but for no more than 12 months, provided that the reservation is fulfilled by the provincial labor department competent for the territory and then for up to 48 months. After this period, the collaborator can continue to work at startup only with a permanent contract.

Duration: this fixed-term contract can be concluded for a minimum period of 6 months and a maximum of 36 months, without prejudice to the possibility of concluding a fixed-term contract of less than 6 months in accordance with the current general rules. In order to depart from the aforementioned limit of a maximum duration of 36 months, an additional subsequent fixed-term contract may be provided between the same entities for a residual duration with respect to the maximum period (5 years from the date of establishment or the most limited period for already established companies). provided that the arrangement takes place at the provincial labor office responsible for the area. Within the aforementioned maximum duration limit, several consecutive fixed-term appointments may be agreed without observing a minimum or even continuous period.

Contracts provided for under these provisions are in any case exempted from quantitative restrictions. Continuity of contracts: if, due to the continuity of fixed-term contracts, the employment relationship between the same employer and the same employee as a whole has exceeded 36 months, including extension or extension of validity or other expected longer duration, and regardless of any periods a break between one contract and another, labor relations are considered unlimited.

There are no numerical limitations on fixed-term contracts in relation to the number of permanent contracts: for example, you can start a startup with two permanent employees and ten temporary employees. The contract may provide, in addition to a fixed remuneration, not less than the required minimum, also a variable part related to the productivity and / or profitability of the company, or the efficiency and / or productivity of the employee (for example, stock options).

Variable remuneration is provided to innovative startups: taking into account the minimum size of the table, the parties reserve the right to determine which part of the remuneration is fixed and which variable. Compensation to employees hired by a startup consists of: – a fixed component, which cannot be lower than the required minimum of the table, for the appropriate classification level, according to the applicable collective agreement; – a variable component consisting of treatments related to the efficiency and profitability of the company, the productivity of the employee or workgroup, or other performance goals or parameters agreed between the parties, including the allocation of options for the purchase of shares or shares of the company and the free sale of the same shares or shares.

Collective agreements stipulated by relatively more representative national trade union organizations can be determined directly or through delegation of decentralized levels through inter-federal or categorical agreements or general notices, criteria for determining table minimums and provisions aimed at adapting labor management rules to the needs of innovative startups.