Italian regions grapple with job losses and declining wages

A conference in Trentino warned that the province could lose around 23,000 jobs by 2040 as rising living costs, demographic shifts and the need for higher productivity put pressure on families and businesses. Officials highlighted the region’s above‑average GDP but stressed that inflation, especially in housing and energy, is hitting the most vulnerable households.

In Siena, a study by the Institute of Economic and Social Research showed real wages for employees fell 13.9% between 2014 and 2024. The analysis pointed to deindustrialisation, a sharp drop in exports and a rise in short‑term work schemes, indicating a deepening industrial crisis. While services still employ the majority of the workforce, the industrial sector’s contribution has contracted markedly, and construction incentives are waning.

Both reports underscore growing economic disparities within Italy’s regions, highlighting the need for policies that boost productivity, support vulnerable workers and sustain industrial activity.