Customs raid in Lower Saxony: 100 officials against illegal work in construction!

Customs raid in Lower Saxony: 100 officials against illegal work in construction!

A nationwide control campaign to combat undeclared work in the construction industry caused a stir in Lower Saxony today. Officials from the main customs offices in Braunschweig, Hanover and Osnabrück took part in the action, which is seen as a further measure in the ongoing fight against illegal working practices. Around 100 customs officers from the Undeclared Employment Financial Control Department were deployed in the cities of Hanover and Lüneburg to check employment relationships and compliance with the minimum wage. The focus was particularly on the numerous suspected cases of bogus self-employment, which relieve employers of their obligation to provide their employees with social security.

How NDR According to reports, customs officers in Hanover uncovered 25 cases of alleged bogus self-employment and made similar findings in the Osnabrück, Emsland, Nordhorn, Vechta and Diepholz regions. The main customs office in Braunschweig has also initiated five criminal and five administrative offense proceedings due to illegal residence. A total of around 2,800 civil servants are deployed nationwide to combat the loss of tax revenue due to undeclared work.

Damage to the national economy

The dimension of undeclared work in Germany is enormous. In 2023, the financial control of undeclared work determined financial damage of around 615 million euros, but this is only the tip of the iceberg. Experts estimate that the number of unreported cases is significantly higher. In an article by Economic service The extent of the shadow economy, in which services are provided without compliance with tax and social security obligations, is highlighted as serious. In 2018, the share of undeclared work in Germany's gross domestic product was around 10 percent, while the long-term average was a remarkable 14 percent.

Detecting these illegal practices is not easy because official statistics are often blind to the actual situation. This makes it all the more important that suspected cases of undeclared work are reported. SOKA-BAU makes it possible to submit such reports anonymously in order to promote fair working conditions. Employers are required to fully comply with their reporting obligations, as failure to report or incomplete reporting can also result in legal consequences, as described in an article by SOKA CONSTRUCTION is executed.

Risks and information about false self-employment

A significant risk when employing employees is false self-employment. This can be the case even if the business is registered properly. Criteria that can indicate false self-employment include, for example, predominantly working for only one client, fixed working hours or the ban on working for other clients. Such regulations can lead to employees and employers falling into the clutches of the law, which could result in back payments and possible legal action.

The reality is that the shadow economy not only harms the affected employees, but also endangers the financial basis of the federal and state governments. Vigilance is particularly required in the construction industry, which is traditionally susceptible to such practices. Today's deployment of customs officials is a clear sign that the authorities attach high priority to the issue.

Solidarity among honest employers and employees is needed to create a fair and safe working environment for everyone and to prevent future damage caused by undeclared work.