Training Policy Brief

How to reduce undeclared work in the Republic of Croatia?

Undeclared work is not a foreign phenomenon in the Republic of Croatia. Various reasons lead to its appearance. It has negative consequences for the entire community. On the one hand, employers face cases of unfair competition, workers suffer from insecurity in terms of social dimensions, while the state is deprived of a part of the income, the investment of which would bring numerous welcome benefits to society. Undeclared work leads to the creation of a practice of tax evasion, noncompliance with regulations governing labor relations, especially the protection of workers, which in this case is violated. Over time the question arises as what measures are sufficiently effective for combatting undeclared work.