A total of 279 responses were collected to the survey carried out by the Ministry of Labor and Economic Affairs in the construction sector regarding the measures needed to enhance the fight against the gray economy and economic crime. The purpose was, among other things, to produce action proposals for the preparation of a strategy to combat the gray economy. The answers of RT's member companies emphasized the wish that there would be no more control-related measures for the companies at least. It was hoped that existing measures would be lightened and made more efficient with the help of digitization and open data transfer.
Among the measures against the gray economy implemented in the construction industry, the Customer Liability Act was felt to be the most important. The top three also included access control at construction sites and tax numbers, as well as reporting obligations for subcontractors and employees. Of these, the obligation to report workers on the construction site was judged to be the most laborious in practice. Next, the most work is caused by the customer's reporting obligation and tax numbers, as well as access control at construction sites. Several problems related to the notification procedure and suggestions for improvement came up in the report.
The administrative burden is accentuated especially in small companies that do not have their own special expertise or developed routines to detect the phenomena of the gray economy. Although, especially in the survey of companies in the construction industry, some of the respondents proposed dismantling the entire notification procedure, the majority considered that the procedure together with other measures is necessary. It is primarily a matter of developing procedures, especially with the help of digitalization.
The companies in the construction industry were quite unanimous about the necessary development measures. Among them, the employer obligations imposed on foreign employers rose to the top. Obtaining the authority and insurance information required by the Customer Liability and Procurement Act electronically and free of charge was also at the top of the wish list. It was also considered important that the information given to one authority once would also be used by other authorities at the same time.
Both Rakennusteollisuus RT and Rakennusliitto agree with the companies on the necessity of the measures at the top of the list. Both emphasize the employer obligations imposed on foreign companies, the importance of obtaining official information and simplifying the notification procedure so that the information provided once is sufficient.
Compared to previous similar surveys, views related to the fight against the gray economy have changed in a more positive direction in the construction industry. The implemented measures are estimated to have a positive effect. However, the expectations are accompanied by uncertainty about how the Tax Administration will be able to utilize the information provided to it.
Also in the construction industry, about half of the respondents estimate that the gray economy in their own industry has decreased at least somewhat over the past 4 years. Estimates of the next 5 years' development were more or less at the same level. Land builders' assessments were slightly more pessimistic than house builders'.
Despite the positive development, 56% of the respondents still consider the competitive disadvantage caused by the gray economy in their own industry to be at least moderate. Compared to the survey two years ago, the assessment of competitive disadvantages has deteriorated somewhat, but is still at a clearly better level than in 2010.
The smallest companies had a slightly more pessimistic view of future development than others. Otherwise, the size of the company had no systematic effect on the evaluations of the development of the gray economy and the competitive disadvantage caused by it.
In the answers to the company survey, the most significant manifestation of the gray economy was judged to be traditional informal jobs at private small-scale construction sites. Foreign companies that use informal, tax-exempt or underpaid labor in renovation construction received an almost similar estimate, and foreign companies that use informal, tax-exempt or underpaid labor on new construction sites received a slightly lower rating.
- Final report: A report on the measures needed to enhance the fight against the gray economy and financial crime
- Appendix to the report: Threat images in the construction industry in February 2016
| The investigation was started on February 8.2.2016, XNUMX, by order of the Ministry of Employment and the Economy. Its purpose was to survey the views of the labor market partners and the member companies of industry associations that are central to the fight against the gray economy on the problems caused by the gray economy in various sectors and the necessary proposed measures. The investigation consists of interviews and online surveys of the member companies of three industry associations (Rakennusteollisuus RT ry, Matkailu- ja Ravintolapalvelut MaRa ry and Suomen klustus ja logistiikka SKAL ry). |