The coalition of the CDU/CSU and SPD is tightening its draft law to combat illegal employment: Following barbershops and cosmetic studios, delivery services that transport goods for third parties are now also being added to the list of sectors considered particularly affected by undeclared work. The Bundestag is scheduled to vote on the draft law on Thursday. The "Rheinische Post" first reported on the development.
The government had introduced the draft law in August, initially targeting the hairdressing and cosmetics sectors. Now, just before the Bundestag vote, “platform-based delivery services” are also included, according to an amendment approved by the CDU/CSU and SPD.
“This includes platform operators who organize the delivery of goods provided by third parties, such as food,” explained Anja Karliczek (CDU), the Union parliamentarian responsible for the topic. The aim of the law is to prevent large-scale undeclared work. “And we must protect the honest and law-abiding market participants and businesses, especially in skilled trades, who otherwise have no economic chance against illegally operating black sheep,” she said.
Under the proposed law, employees in the specified sectors will be required to carry identification with them. Employers will face an immediate reporting obligation when hiring new staff. Other sectors, such as forestry and butchery, will be removed from the list according to the draft.
The law also aims to expand the powers of the Customs unit Financial Control of Undeclared Work (FKS), improve data analysis, and simplify inspections. Federal Finance Minister Lars Klingbeil announced that the law would strengthen the FKS’s role as a “small public prosecutor.” The unit would then be able to pursue cases “from start to finish.”
In addition, according to the draft, the customs unit will participate in the Police Information Network, meaning it will no longer have to request police assistance to identify illegal workers.
Dirk Wiese, Parliamentary Secretary of the SPD parliamentary group in the Bundestag, emphasized over the weekend that the law ensures greater tax fairness. “With the law, we enable the FKS to act more effectively against illegal employment and the resulting tax fraud,” he said to AFP. “These are billions that the state loses every year.”
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