Analytics, Employment, Latvia, Legislation, Markets and Companies, Shadow economy

International Internet Magazine. Baltic States news & analytics Thursday, 23.05.2013, 01:12

Number of illegal workers in Latvia grows by 10% in January-May

Alla Petrova, BC, Riga, 06.06.2012.Print version
In the first five months of 2012, the State Labor Inspectorate established 10 percent more cases of unreported employment than in the respective period in 2011, State Labor Inspectorate representative Aivis Vincens told LETA.

1,127 employees were found to be on the job without a contract in January-May 2012, compared to 1,011 in January-May 2011.

 

In the first five months of 2012, the number of fines grew 74 percent alongside repeated unreported employment and illegal worker numbers, amounting to LVL 430,000. However, the number of employee reports on not signing labor contracts or labor contract violations increased as well.

 

Many companies still want to save up by not signing labor contracts or replacing them with different contracts. As a result, their employees lose out on several social guarantees, the state – taxes, pointed out State Labor Inspectorate Director Renars Lusis.




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