5 Minute News

Proposed Cancellation of Employer Debts for Undeclared Labor

June 21, 2026

The government has proposed the cancellation of debts totaling €58 million from employers for undeclared labor, contingent on parliamentary approval of the bill. This will significantly reduce the owed amounts retroactively from June 2017. Administrative penalties and fines that have accumulated will be decreased substantially. If approved, employers would only need to pay €7.9 million instead of €65.6 million. However, there are legal uncertainties regarding the implementation of this provision.