Tackling undeclared work database

Undeclared work can be defined as work which is in itself legal but is not declared to the authorities for tax, social security and/or labour law purposes. Across the 28 Member States of the European Union, a great deal of effort is being invested into developing and testing policy measures that aim to tackle undeclared work.

6 items found (page 1 of 1)

Social partner agreements to fight undeclared work, Germany

03 Giugno 2013
  • Germany
  In 2004, the Federal Ministry of Finance and the social partners in the construction sector joined forces to fight undeclared work on construction sites. This first agreement was followed by similar agreements in other sectors. The two latest social partner agreements cover painters (2010) and the industrial textile services sector (2012), aimed at curbing the incidence of undeclared work through the exchange of information, regular visits to establishments checking for cases undeclared work and monitoring the adherence to minimum wages.  
  • Type of measure:

    Changing attitudes: awareness raising

New rules for marginal employees, Germany

02 Giugno 2013
  • Germany
  The federal government introduced new regulations for marginal part-time employment, specifically lower tax and insurance contributions, in an effort to boost employment in the low-wage sector and tackle undeclared work. In addition, a Mini-job Centre was set up with responsibility for the registration of mini-jobs and the collection of contributions.  
  • Type of measure:

    Legitimising undeclared work, Prevention

Start-up premium, Germany

02 Giugno 2013
  • Germany
  The introduction of the Ich-AG scheme in 2003, a new public subsidy for business start-ups, was intended to reduce Germany’s unemployment rate, to combat illegal employment and to offer unemployed people a way out of undeclared work. In 2006, the federal government fused the two labour market instruments and the ‘start-up premium’ (Gründungszuschuss) came into effect, aimed at improving administrative effectiveness and avoiding duplicated structures for the scheme.  
  • Type of measure:

    Legitimising undeclared work

Lower tax and insurance for low-wage employees, Germany

28 Ottobre 2009
  • Germany
 
  • Sectors

  • Type of measure:

    Deterrence: improve detection

Tax enforcement unit for undeclared work, Germany

28 Ottobre 2009
  • Germany
  In 2004, a new administrative unit called the Tax Enforcement Unit for Undeclared Work (FKS) began its operations. FKS was set up to reduce undeclared work in order to relieve the burden on the payers of tax and social security contribution, social insurance organisations and the federal budget. However, an analysis by the Federal Court of Audit shows that the operations of FKS must be substantially improved if they are to tackle undeclared work more effectively.  
  • Sectors

  • Type of measure:

    Deterrence: improve detection

Public subsidy for entrenprenurial business start-ups, Germany

05 Aprile 2009
  • Germany
  In 2002, the government introduced a new public subsidy for business start-ups established by unemployed people, coined as the ‘Ich-AG scheme’. The aim of the initiative was twofold: firstly, it aimed to lower the unemployment rate; at the same time, policymakers hoped to encourage unemployed persons engaging in undeclared work to return to the formal economy. Between 2003 and 2006, over 400,000 unemployed persons were granted funds under the Ich-AG scheme. Moreover, over 70% of these new entrepreneurs were still in the market 28 months after founding their business.
  • Sectors

  • Type of measure:

    Deterrence: improve detection
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