Illegal work , ‘a problem for all’

Illegal work , ‘a problem for all’

Illegal and undeclared work in Cyprus is a growing trend, particularly in the construction industry, where it is approaching 25%. The Cyprus economy relies on employing people other than Cypriots, but this needs to be done with appropriate regulations. Third country personnel are attracted through illegal procedures in the promise of a job. The construction sector contributes about 15% to the island’s GDP, with optimistic forecasts for 2024. There are currently 40 projects underway in the construction sector worth €862 million.

Arrests for illegal work

Arrests for illegal work

Fact: Police arrested six people for illegal employment and two for illegal residence in a property under renovation in Famagusta province.

Cyprus: Only 25% of asylum seekers are registered with social insurance services, Minister says

Cyprus: Only 25% of asylum seekers are registered with social insurance services, Minister says

The government plans to introduce new legislation to address undeclared and illegal labor, with bills set to be presented to the House of Representatives in June for a vote before the summer recess. Labor Minister Yannis Panagiotou highlighted the recent increase in such practices and emphasized the need for swift action. The Minister also discussed benefits for Turkish Cypriots under the Ministry of Labour’s jurisdiction and presented data showing a correlation between undeclared labor and increased migration. The proposed legislative changes include increasing fines for undeclared work to €1000 and holding main contractors liable in addition to subcontractors. Additionally, there will be provisions for electronic registration of all employees in the Ministry’s information system.

Our View: Heavy-handed police hotel raid is overkill

Our View: Heavy-handed police hotel raid is overkill

Fact: More than two dozen police officers raided a hotel in Paphos to check for workers employed illegally, causing concern among hotel guests and raising questions about the government’s approach to tackling illegal work in Cyprus.

Government ramps up crackdown of undeclared work

Government ramps up crackdown of undeclared work

– Around eight per cent of the workforce, or 40,000 people, are illegally employed in Cyprus, resulting in a loss of revenue to the social insurance fund of €10 million a year.
– The government has approved a plan to strengthen measures to combat undeclared work, including implementing a system of extra-judicial fines for employers.
– The fine for each instance of undeclared work will increase from €500 to €1,000 and will be doubled in the event of a future offence by the same employer.
– Authorities will increase the number of inspections to target specific work sites and times, and there will be increased coordinated inspections between different departments.
– The government will conduct an outreach campaign for third-country nationals legally in Cyprus who are not identified as legal workers.
– The government will investigate employers of undeclared workers for links to people-smugglers.
– Legislative changes will be submitted to the House, including the creation of a digital census of all employees and liability for main contractors and subcontractors in cases of undeclared work.

Police crack down on illegal work in Larnaca and Famagusta

Police crack down on illegal work in Larnaca and Famagusta

Fact: Ten people were found working illegally and arrested in Larnaca, with three more discovered in the Famagusta district as part of coordinated police efforts tackling undeclared work.

Five accused of working illegally in Paphos

Five accused of working illegally in Paphos

Five people, aged between 19 and 28, were charged in writing of working illegally in Paphos. They were carrying out construction work without being officially listed as employees and without having work permits. The man who allegedly employed them, a 36-year-old, was also charged in writing.