Italy's constitutional court on Wednesday threw out a petition from the country's biggest CIGIL trade union demanding referendum on key labour reforms making it easier to hire and fire workers.
The court upheld CGIL's requst for referendums on two other elements of ousted centre-left premier Matteo Renzi's flagship labour market reforms - a voucher system to pay workers who have no contract and new rules on public sector tenders.
CGIL said it could appeal the apex court's rejection of its bid to restore the right to re-instatement for sacked workers and to extend it to smaller companies.
CGIL leader Susanna Camusso said the union could lodge an appeal against the ruling at the European Court of Justice.
"We are convinced this battle must continue," she said at a press conference.
Renzi stood aside last month after a crushing defeat in a referendum on proposed changes to Italy's constitution aimed at streamlining lawmaking.
He touted the planned constitutional reforms and the 2015 Jobs Act as vital measures to revive the Italian economy, which is the most chronically stagnant in the eurozone.
Renzi's successor Paolo Gentiloni has pledged to consolidate his reforms.
