Taking Aim at Illicit Activities: Klingbeil's Crusade Against Underground Work, Vows to Send in Customs Agents
Minister Klingbeil advocates for augmenting the workforce with black labor, proposed to reinforce border control efforts by dispatching custom officials.
Get ready for the annual customs report this Tuesday. Before that, Finance Minister Klingbeil has revealed the destructive impact of underground work, promising a tough stance and a jibe at his predecessor Lindner.
As shared with Funke media, Klingbeil stated that customs financial investigators uncovered a total damage of 766 million euros due to underground work in 2024. This figure is a significant leap compared to the 615 million euros reported in 2023.
"By intensifying our investigations, we'll uncover more, protect people from exploitation, and shore up state revenues," said Klingbeil. His ministry intends to introduce a new bill aimed at effectively combating underground work before the summer break.
Economic Fallout: Hundreds of Thousands Robbed of Minimum Wage
The 2024 damage from underground work reveals a concerning upward trend. Experts estimate the "dark figure" to still be significantly higher. To combat this issue, the ministry plans to employ advanced data analysis techniques, including AI. The primary focus areas for financial investigators include the hairdressing trade, cosmetics, barbershops, and nail studios.
The Heat is On: Klingbeil's Pinch at Lindner
At a Lüneburg event on Monday, Klingbeil declared his intention to deploy customs officers, stating, "There's plenty to look at." He also took a playful swipe at Christian Lindner, his predecessor, suggesting that Lindner might not have been as ambitious as he is regarding the billions of euros lost to the state.
Despite a shortage of personnel, Klingbeil emphasized the potential for increased action against tax evasion: "We must utilize the personnel at customs effectively to combat tax evasion." He pointed out that black market work and illegal employment have long plagued the economy, adding that his tenure as finance minister has only been three weeks.
Source: ntv.de, gho/rts/dpa
- Black Market Work
- Lars Klingbeil
- Federal Ministry of Finance
- Customs Investigators
Insight:
The labor market in Germany faces numerous challenges, including unemployment, sectoral divergence, regulatory issues, social tension, and workplace discrimination. While specific details about Klingbeil's plan to combat black market work are unavailable, addressing such issues requires a holistic approach that emphasizes labor market resilience, legal enforcement, and worker protections.
- Customs financial investigators, led by Finance Minister Klingbeil, uncovered a total damage of 766 million euros due to underground work in 2024, promising a tough stance against black market activities.
- Klingbeil's ministry intends to employ advanced data analysis techniques, including AI, to combat underground work in the hairdressing trade, cosmetics, barbershops, and nail studios, aiming to reduce the significant "dark figure" still present in the economy.
