Business Commons^™

Ÿ  Effective preventative approaches are long-term, tailored strategies. Over time, they can trigger behavioural change to declare work and increase trust in institutions. Preventative strategies should combine a range of measures and must be regularly tested, evaluated and adapted according to the results. Pilot schemes can be used to find effective ways to tailor approaches to the national context and culture. However, preventative approaches and deterrence approaches are complementary. Both can be used to tackle undeclared work.

Ÿ  Moving towards preventative measures requires a change of strategy of the role of enforcement institutions. A preventative approach requires support of all …

The Montenegrin labour market is characterized by low activity of the working age population, relatively high unemployment, particularly among the young, wide spread undeclared work and the lack of a sufficient number of new and quality jobs. Volume of undeclared work in Montenegro is significant, amounting to one third of total employment. The key purpose of this policy paper is to provide insight into the scope of the undeclared economy in Montenegro, to describe the policy measures implemented in order to tackle undeclared economy and their effectiveness. This involved both desk-based research and interviews with institutions involved in tackling the …

This diagnostic report evaluates the extent, nature and drivers of the undeclared economy in Albania. Based on desk-research and interviews with various stakeholders, this report sets the scene for a strategy and action plan for tackling undeclared work in Albania, presented in a separate document.

When explaining and tackling the undeclared economy in Central

and Eastern Europe, participants have been conventionally viewed

as rational economic actors. They engage in undeclared work

when the benefits outweigh the costs. Participation is thus

deterred by increasing the sanctions and/or probability of being

caught. Recently, however, an alternative social actor approach

has emerged which views participants as engaging in undeclared

work when their norms, values and beliefs (i.e. citizen morale) do

not align with laws and regulations (i.e. state morale). Here, therefore,

initiatives to develop greater symmetry between civic and

state morale are pursued. To evaluate the validity and …