Employment register brings additional 10 mEUR annually

According to Tax Board estimates, the new staff register, which requires the registration of all employees before they begin work, will bring in an additional 10 million euros in tax revenue each year.

The register should affect the construction and catering sectors the most, Postimees reported, as the percentage of staff being paid in cash under the table is 43 and 14 percent, respectively.

The actual process of registration has been streamlined, as companies only need a few minutes to register a new staff member and that registration must now only be made at the Tax Board, previously employees had to be registered at a number of state institutions, including the Health Board.

Before the new requirement entered force on July 1, companies had more time to register employees and would only make staff official after crackdowns. The Tax Board often found many employees officially on their first day at work, although they had been working for the company for months.

Source: ERR News

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