Slovenia: Battle against grey economy intensifies – € 5,8 million worth of fines issued

Slovenia: Battle against grey economy intensifies – € 5,8 million worth of fines issued

In an effort to contain the grey economy, last year the Financial Administration of Slovenia (FURS) paid particular attention to undeclared work, carrying out a total of 11,982 inspections, with violations detected in 22.3% of the cases. Fines worth a total of € 5.8 million were issued, as the annual report of the relevant governmental commission notes.

In the report, the commission for the prevention of undeclared work and employment commends the FURS for managing to detect a large share of irregularities through “well planned and targeted inspections”.

It is the FURS that received most of the reports related to violations of the labor legislation – last year it received 2,826 reports against 3,504 entities.

In 2019, it detected a total of 2,826 violations and issued a total of € 5.8 million in fines, while also filing eleven criminal complaints regarding the criminal act of undeclared employment under the penal code.

Perpetrators received suspended prison sentences in two cases, the report shows.

Meanwhile, what the Inspectorate of Infrastructure underlines as remaining problematic is the supervision of transportation of passengers with personal vehicles, where it is hard to prove undeclared work.

On the other hand, the Inspectorate of Education and Sport notes that there are still private providers of childcare services who avoid registration procedures in which they need to prove they meet the personnel, spatial and equipment requirements.

“This may result in risky and inadmissible situations for children, which is why such acts should be prevented by amending the relevant law with appropriate measures”, the report proposes.

The police say in their part of the report that no significant differences were detected in comparison with the previous years, and that undeclared work and employment is most frequently detected in the construction, hospitality and transport sectors.

In terms of criminal acts against the labour relationship and social security, the most frequent in recent years refers to the failure to pay wages and social security contributions, as well as the illegal termination of the contract. /ibna