Italy's “Decree of Dignity”

On 7 August the Italian Senate voted by a majority for a “Decree of Dignity”.

It mentions a “Reddito di Cittadinanza” (citizens’ income). German-language media (German) were quick to christen the social benefit planned for 2019 a basic income. This shows, on the one hand, how elastic the term is and, on the other, how much depends on unconditionality. When Generation Grundeinkommen (Generation Basic Income) speaks of such an income, unconditionality is always implied.

Is the citizens’ income a basic income?

First, the definition of an unconditional basic income (UBI): a UBI is (1) an individual basic right that (2) is meant to reach everyone, (3) without any obligation to give something in return, (4) at a level that secures one’s existence and participation in society. These are the four points that the Austrian, European (UBIE) and international basic income networks (BIEN) set out as their definition, and which we have adapted in our position paper (German).

This definition allows us to assess the Reddito di Cittadinanza. Does the citizens’ income secure the existence and social participation of everyone? The planned amount (point 4) of 780 euros says only so much here, since what matters is the interplay between purchasing power and the other three criteria.

On point three (“without any obligation to give something in return”), the Italian scheme leaves no room for speculation. Anyone who turns down three job offers loses the money. In addition, recipients must be available to the labour market at all times, actively apply for vacancies, keep records of this and carry out community work when instructed. Anyone who wants to earn something on the side will have that income deducted. Italy’s shadow economy is likely to be one of the beneficiaries of this system.

Nor will the Reddito di Cittadinanza reach everyone, as point (2) of the internationally recognised definition requires: the citizens’ income is tied to Italian citizenship and thus threatens to deepen divisions in the country. Moreover, it is not an individual basic right (1): like the Mindestsicherung (German), Austria’s means-tested minimum income, it is calculated per household.

There is no basic income in Italy

From the point of view of the international basic income movements, the Italian scheme fulfils none of the four criteria of a UBI. The citizens’ income may well be an improvement on Italy’s current social benefits, but those Italians who are still aware that they live in one of the richest countries in the world will soon find out whether or not this “Decree of Dignity” violates their dignity.

Image source: Calro Lopez