Employment and Labour Market Analysis - Undeclared Work

Undeclared work is one of the issues of common concern in the employment field. The concept of "undeclared work" is taken to mean any paid activities that are lawful as regards their nature but not declared to the public authorities, bearing in mind differences in the regulatory system of EU Member States. Applying this definition, criminal activities would be excluded, as would work which does not have to be declared. Undeclared work affects all Member States and is therefore one of the issues of common concern in the employment field. Undeclared work risks undermining the financing of social services, already under pressure, decreases individuals’ social protection status and labour market prospects and may affect competitive conditions. It also runs counter to European ideals on solidarity and social justice. The European Commission Communication on the future of the European Employment Strategy highlights the issue of undeclared work. It refers to actions aiming at transforming undeclared work into regular employment and the policy-mix combining both preventive actions and sanctions. It stresses that it is vital that Member States improve data collection and monitor progress, including impact evaluation of policy initiatives.

The link address is: http://ec.europa.eu/employment_social/employment_analysis/work_en.htm