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Government and Unions to fight grey economy

ZAGREB, July 4 (Hina) - By giving more power to state inspectors andaccelerating the processing of cases of illegal employment, the stateplans to combat grey economy, Croatian Prime Minister Ivo Sanader saidon Monday after a regular meeting with the heads of six unionfederations, held every three months.
ZAGREB, July 4 (Hina) - By giving more power to state inspectors and accelerating the processing of cases of illegal employment, the state plans to combat grey economy, Croatian Prime Minister Ivo Sanader said on Monday after a regular meeting with the heads of six union federations, held every three months.

Amendments to the law on the state inspectorate are being drafted, it was said after the meeting. The amendments will enable state inspectors to give fines and close on the spot companies which illegally hire people. The government will also amend laws on offences aiming at accelerating the cases before courts, Sanader said.

"Grey economy is one of the greatest evils in Croatia which primarily harms workers who are forces to work illegally or for a minimum wage and it is difficult to expect them to show courage and publicly speak against their employers because they fear they could lose their job," Sanader said.

This is why the government and its social partners - unions and employers, will fight this, the PM said.

Sanader also called on the Croatian Employers' Association to fight illegal employment.

The PM announced that a number of cases of illegally employing foreigners in Croatia would be investigated and that representatives of trade unions and employers would help draft a Pre-Accession Economic Programme for next year.

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