Home Work & CareersForeign Workers in Italy Face Low Pay and Weak Contributions

Foreign Workers in Italy Face Low Pay and Weak Contributions

Explore how nearly 4 million foreign workers in Italy support key sectors like agriculture, domestic care, and tourism, despite low wages and modest social security contributions.

by Emanuela Colatosti

Italy is home to millions of foreign workers — nearly 4 million active contributors in 2024, according to INPS. Yet despite their sheer numbers, many earn modest wages, work precarious jobs, and contribute only a fraction to the social security system. This raises a pressing question: can a workforce so crucial to the economy also be seen as a strain on welfare?

From domestic care to agriculture, hospitality, and construction, foreign workers fill roles that Italians increasingly avoid. Their contributions may be modest on paper, but without them, large parts of Italy’s economy would struggle to function.

Who Are the Foreign Workers in Italy?

INPS reports that there are 4,611,267 foreign citizens in its databases, combining EU and non-EU nationals. Of these, 3,980,609 (86.3%) work, 378,645 (8.2%) get pension, and 252,013 (5.5%) receive income-support benefits such as unemployment or mobility allowances.

The bulk — roughly 3.5 million — work in the private sector, earning an average annual salary of €16,700.

Non-agricultural private work ~2.7 million workers ~€18,800/year
Agriculture ~314,000 workers ~€9,700/year
Domestic work ~500,000 workers ~€9,800/year

These numbers highlight why many commentators note that low wages don’t help welfare. Contributions are proportional to earnings, so modest pay means modest social security contributions.

Where Foreign Workers Are Mostly Employed

European Commission data (2023) shows that foreign inhabitants in Italy work in a few key sectors:

  • 30.4% are employed in personal and collective services;
  • 18% have job in agriculture;
  • tourism & hospitality hire them for 17.4%;
  • they compose the 6.4% in construction field.

These are labour-intensive, often undervalued roles — essential for the economy but typically low-paid and precarious.

Why Contributions Remain Low

Several structural factors explain why social security contributions from foreign workers remain modest.

Salaries far below the national avarage are more common among:

  • domestic work;
  • agriculture;
  • hospitality.

Another factor that concurs to small contributions in welfare system is the insecurity of job. In fact, foreign workers are more likely than Italians to have temporary contracts, part-time work, or seasonal employment.

We have also to consider that many immigrants work in positions below their education or skill level. This further limit their possibility of getting up payments.

Even when multiplied across millions of workers, contributions remain relatively low compared with the benefits they may access — from unemployment support to pensions — especially for those who stay in Italy long-term.

The Human-Economy Trade-Off

Despite low wages and modest contributions, foreign workers are indispensable. Without them:

  • agriculture would face labour shortages during harvests;
  • domestic care for the elderly and vulnerable would collapse;
  • tourism and hospitality would struggle to meet demand;
  • construction projects would slow or stall.

INPS shows nearly 4 million active foreign workers — a substantial share of the workforce. Their presence keeps essential sectors running and sustains economic activity, even if each individual contributes relatively little to social security.

What This Means for Italy

The numbers reveal a complex picture. Foreign workers provide essential labour but they play in low-paid, precarious roles. Their social security contributions are proportional to their modest wages, which limits the support they provide to welfare systems. Yet without them, large parts of the Italian economy would face serious labour shortages.

Italy faces a structural challenge: how to revalue low-paid, essential jobs, ensure fair contributions, and integrate foreign labour in a way that strengthens — rather than strains — the welfare system.

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