**Employers Face Fines After Discovery of Undeclared Workers in Cyprus**
In a recent operation conducted by the Labour Inspection Department, 39 undeclared salaried employees were uncovered during inspections of 156 locations across Cyprus in April. The department announced the findings on Tuesday, highlighting the ongoing efforts to address the issue of undeclared work in the country.
The inspections, which targeted both employers and self-employed individuals, resulted in 16 fines totaling €88,200. The Labour Inspection Department emphasized that the primary aim of these inspections is to raise awareness about the legal consequences of employing undeclared workers.
Out of the 156 premises inspected, 147 were identified as employers while nine were self-employed individuals. In total, 434 workers were checked during this operation. The breakdown of the inspected workforce revealed a diverse demographic: 142 were Greek Cypriots, four were Turkish Cypriots, 110 were citizens of other European Union countries, and 178 were from third countries.
Cyprus law imposes strict penalties for employers who fail to declare their employees. If an undeclared worker is identified by the Social Insurance Department, the employer faces an initial fine of €1,000 for each month of non-compliance. This fine escalates by €500 for every six months the violation continues. Furthermore, repeat offenders can incur significantly higher fines; a second infraction within a two-year period results in a €2,000 penalty, while a third or subsequent violation can lead to fines of up to €3,000.
The Labour Inspection Department's initiative is part of a broader strategy to combat undeclared work, which poses risks not only to workers' rights and benefits but also undermines fair competition among businesses. By conducting these inspections and imposing fines, the department aims to deter employers from engaging in such practices and to promote compliance with labor laws.
The recent findings underscore the importance of regular monitoring and enforcement of labor regulations in Cyprus. As the department continues its inspections, it remains committed to ensuring that all workers are properly declared and receive the protections afforded to them under the law.
This operation serves as a reminder to employers about their responsibilities regarding employee declaration and the potential ramifications of neglecting these duties. The Labour Inspection Department encourages all businesses to adhere to legal requirements to foster a fair and equitable working environment for all.