Insights

Italy’s AI Compliance Push Enters a New Phase

Italy's draft implementing decrees signal a practical shift in AI Act compliance: Companies may soon need stronger evidence of how AI systems are classified, supervised, documented, and controlled.

Italy has taken another step toward making EU Regulation 2024/1689 (the "AI Act") operational on the ground. On June 10, 2026, the Italian government granted preliminary approval to two draft legislative decrees designed to implement Italian Law No. 132/2025 and align Italian law with the AI Act. The first builds the national enforcement framework, addressing authorities, supervision, sanctions, regulatory sandboxes, training, and employment safeguards. The second focuses on law-enforcement use of AI and introduces targeted civil and criminal liability rules. The texts are not yet final, but the trajectory is clear: AI governance in Italy is becoming more structured, documented, and subject to review.

 

For businesses, the central concern is evidentiary readiness. The Agency for Digital Italy (Agenzia per l'Italia Digitale) and the Italian Agency for National Cybersecurity (Agenzia per la Cybersicurezza Nazionale) are expected to anchor the implementation framework, with sector regulators retaining oversight in banking, finance, insurance, data protection, and other regulated markets. Going forward, regulators, courts, employees, counterparties, and insurers will likely demand more than the existence of an AI policy—they will want to see that the company can demonstrate how AI systems are inventoried, classified, tested, monitored, updated, and supervised.

 

Employment use cases deserve particular attention. Decisions affecting hiring, role changes, termination, discipline, or other employment matters should not be delegated entirely to automated processing. Human review must be meaningful, and employers may be required to explain—through documented human intervention—the AI system's role in the decision and the principal parameters it considered.

 

Technology providers and deployers should also scrutinize biometric and law-enforcement tools, high-risk AI system classifications, vendor contracts, insurance coverage, trade-secret protections, and litigation preparedness. The next practical steps are straightforward: Map current AI use, confirm AI Act risk classifications, assign accountable owners, strengthen HR and vendor controls, and maintain records demonstrating human oversight and effective risk management.

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