Looking beyond the workplace: Trade unions and the politics of poverty in Italy

Abstract

There is ample literature to suggest that labour's interests are at odds with the extension of income protection to ‘outsiders’. Until recently, Italian unions were reluctant, if not outright obstructive, towards the introduction of a minimum income scheme (MIS). After the 2008 financial crisis and its dramatic social and economic consequences, however, the three major labour confederations supported the introduction of a national MIS, openly embracing the fight against income insecurity. Why did trade unions overturn their conservative approach and eventually support social assistance safety nets? Drawing upon textual evidence and semi‐structured interviews, the paper suggests that the Italian labour movement, albeit with differences among the confederations, has radically changed its preferences towards social assistance. Unions gradually shifted from a ‘deservingness’ logic (championing ‘hard work’) to one of reservation wage (the ‘we are all in the same boat’ narrative). Weaknesses in labour market peripheries have encouraged the labour movement to defend those at risk of poverty. The Italian case has wider implications for actors' preferences and roles in welfare reform, showing that structural and strategic factors may encourage labour to join coalitions that support welfare ‘de‐dualisation’ pathways.