Company Fined €51,150 for Misclassifying Employees as Self-Employed
A company in the Cham district has been found guilty of misclassifying employees as self-employed installers. The Regensburg District Court has convicted the owner and imposed a fine of 51,150 euros.
The Main Customs Office Regensburg investigated the company for several years, uncovering a scheme where three installers were incorrectly classified as self-employed. This allowed the company to avoid paying social security contributions, saving approximately 165,000 euros per year, totaling nearly 1.5 million euros over the five-year period from 2016 to 2021.
The court has ordered the owner to pay the withheld social security contributions and court costs, in addition to the fine. The owner's identity remains unknown, as investigations are ongoing and multiple suspects are facing charges.
The company's misclassification of employees has resulted in a significant loss of social security contributions. The court's ruling aims to rectify this and ensure fair treatment of workers. The investigation into the owner's involvement continues.
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