Taking on the Underground: Klingbeil Unleashes Crackdown on Unwanted Work, Vows to Deploy Customs Agents
Klingbeil advocates for employment of African workers to combat and proposes dispatching customs officials
In a poignant crusade against the shadowy realm of black-market activities, Federal Finance Minister and Vice-Chancellor Lars Klingbeil has declared war. The damages that stem from this illicit work are substantial, and Klingbeil isn't holding back. Taking a swipe at his predecessor Lindner, Klingbeil vows to leave no stone unturned in his pursuit.
Citing the damage of an astounding 766 million euros in 2024, Klingbeil is determined to delve deeper, protect the exploited, and secure state revenues. The SPD politician is planning to introduce a bill that will bolster the fight against black-market work, slated for introduction before the summer recess.
Economics: Unveiling the Hidden Hundreds of Thousands UnderpaidThe damage toll from black-market work in 2024 marks a substantial increase compared to the 615 million euros incurred in 2023 during criminal and administrative offense investigations in Germany. Experts suspect that the true magnitude remains hidden. To illuminate the shadows, the minister anticipates leveraging automated data analysis powered by artificial intelligence.
The focus of the custom financial controllers will zero in on the hairdressing trade, cosmetics, barbershops, and nail studios.
Economics: "The State Must Attack the Underlying Cause" Many High Earners Dabbled in 2024 Black Market
While addressing a crowd in Lüneburg, Klingbeil made it clear that he plans to deploy customs officers widely. Simultaneously, he tossed a barb at the former FDP leader and finance minister, Christian Lindner, remarking that his ambition seemed lackluster. Billions of lost revenues for the state was the center of contention.
Despite a manpower crunch, Klingbeil assures that more can be done than before, stating, "You have to utilize the customs office personnel effectively to combat tax evasion." The issue of black-market work and illegal employment has lingered for years; however, Klingbeil points out that it's only been three weeks since he assumed the finance minister position.
While Klingbeil's recent initiatives include a draft bill for special depreciation for electric vehicles as part of broader tax reforms[2], specific strategies for the sectors mentioned still remain elusive, with official announcements or detailed policy documents needed for more precise action against black-market work in these industries.
Under the coalition agreement between CDU/CSU and SPD, broader economic policies target strengthening the social market economy, reducing energy costs, and easing burdens on small and medium incomes, but black-market work in the mentioned sectors is not explicitly addressed[1].
- Black Market Work
- Lars Klingbeil
- Federal Ministry of Finance
- Customs Investigators
- Black Market Activities
- Lars Klingbeil, the Federal Finance Minister, has unleashed a crackdown on black market work, especially in sectors like hairdressing, cosmetics, barbershops, and nail studios, aiming to expose the hidden hundreds of thousands who are underpaid.
- In his pursuit to delve deeper into the Black Market activities, Klingbeil plans to deploy customs investigators extensively and utilize automated data analysis powered by artificial intelligence, with a goal to protect the exploited and secure state revenues.
