Financial aspects of unregistered employment in Poland and other Eastern European countries

Abstract

A review of the specialist literature and analysis of own study results reveal that a scale of the phenomena of undeclared work is both globally and locally significant and differentiated. Comparative research for the entire geographical area is difficult, as these are countries with very diverse economies. This was due to historical conditions, dynamic of socio-political changes and ties with other political alliances, membership in organizations and economic partnerships. The aim of the empirical research was to identify the financial aspects of undertaking work in the grey zone from the workers point of view. The study target group were chosen from unemployed registered at the Municipal Employment Office in Płock, Mazovia Region. Results show that the unemployed turn to undeclared work for financial reasons, such as higher reimbursement, unsatisfactory income or excessively high social insurance contributions. Respondents assessed their financial situation most often as bad, and indicated difficulties in finding work through registered employment. People who undertake work in a grey zone are predominantly those from low income groups, socially excluded, migrants, long time unemployed.