UNDECLARED WORK: FACTORS OF OCCURRENCE, CONSEQUENCES FOR SOCIAL AND LABOUR GUARANTEES’ IMPLEMENTATION, APPROACHES TO REGULATION

Анотація

According to the EU and the ILO methodology, the State Labour Service of Ukraine interprets undeclared work as a legal paid activity that is not registered fully or partially in accordance with the law requirements; national and foreign experts use the terms of informal, unofficial, unregistered, shadow, hidden employment as synonyms for its various components. The study proves that undeclared work is a broader concept that covers legalized (both official and manipulative), as well as purely shadowy mechanisms of its emergence and functioning. The permission to provide specialized and related recreational services on the base of the potential of personal peasant farms and their locations without mandatory declaration of the entire amount of work and income according to the spectrum of branches of their obtaining had actually formed the ecologically oriented tourism. In the conditions of problematic functioning of the State Labour Service of Ukraine, which have been manifesting in non-systematic performance of its inspection powers, as well as due to the significant spread of non-standard labour relations (with mediation of an employer’s functions, outsourcing contingents of auxiliary, service and part of specialized personnel at various enterprises), tariff-free remuneration systems stimulate numerous manipulations in the field of labour declaration and decent wages. The priorities for preventing undeclared work in Ukraine include: wages’ share consistent growth in the structure of production costs; strengthening a cross-control over the obligations’ fulfilment to pay the minimum wage within tariff-free and hourly wage systems; implementation of the well-founded methodology for harmonizing the minimum wage, the subsistence minimum, and the rest of basic social standards attached to them.

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