Undeclared work represents a major problem in Europe, which accounted for 18.4% of the EU's gross domestic product in 2012. Not only do governments miss out on revenue, but workers are also less protected. On 2 February MEPs approved a proposal to establish a European platform to tackle the issue. How will it work? Watch our interview with report author Georgi Pirinski, a Bulgarian member of the S&D group, to find out more.
Undeclared work is legal work which has not been properly declared to the authorities. This could lead to unfair competition and countries missing out on taxes and social security contributions, but it also puts workers at a disadvantage.
"People being employed in undeclared work are denied basic social and labour rights," said Pirinski. He added that the European platform, which had been approved by MEPs, could serve to share best practices and examine information, especially when it involved companies operating in more than one EU country.
The report was approved in plenary with 619 votes in favour, 69 against and seven abstentions.