“Fighting abuse effectively”
Bärbel BAS raises the alarm for social fraud – is she right?
Minister of Labor Bärbel BAS spoke in star-Interview of “mafia structures” in social service fraud. Two experts classify their statements.
The new Federal Minister of Labor Bärbel Bas spoke about her fight against undeclared work and social fraud. Here there are exploitative structures that attracted people from other European countries to Germany. The criminals had these people work black for themselves and at the same time apply for citizenship. “These are mafia structures that we have to smash,” said Bas.
The minister named her hometown as an example. “With me in Duisburg there are social abuse in some areas.” In the Hochheide district, there are the “white giants”, four skyscrapers, where a lot of social fraud happens. The star spoke to two experts who classify Bas’ statements.
“Bärbel Bas is absolutely right”
“Bärbel Bas is absolutely right,” says Gerhard Bosch, emeritus professor at the University of Duisburg-Essen and expert work. “In certain parts of Duisburg, i.e. in certain buildings and streets, there is a huge social security fraud.” For example, child benefit would be billed for children who may not exist.
The expert’s expert also agrees with regard to undeclared work. “We used to have the so -called little undeclared work. So work without an invoice at the construction on the construction, at the neighbor, in the village. This form has been put into the background and replaced by organized forms of crime. So correct, systematic fraud boxes. And these are actually mafia -based structures.”
The cash for the payment of the undeclared work is generated via false invoices. “The companies receive cash for activities or materials from other criminals.
With this money you pay the undeclared citizens’ money. “Financial control undeclared work has a list of 6000 companies that issue these bogus invoices. Around 200,000 undeclared workers are determined every year.”
Information exchange important step in the fight against social fraud
“It cannot be the meaning of EU freedom of the EU that people from Europe are piloted by criminals to Duisburg to collect social benefits here,” says Michael Rüscher star.
With regard to the statements of Minister of Labor BAS, Rüscher says, who works for the social service fraud of the city of Duisburg, which also carries out raids in the “white giants”: “We very much welcome that there are now plans to act against this abuse.”
For example, if it were possible to improve the exchange of information between the many participating authorities, this would be an important step in containing social service fraud, said Rüscher.
Location of undeclared work in Germany
In 2024, at least 3.3 million people in Germany worked black, but the number of unreported cases is likely to be significantly higher, such as the Financial Control Work Control working group. Your estimates assume up to ten million people who work in undeclared work.
The financial scope of the shadow economy, to which undeclared work contributes significantly, is forecast to around 511 billion euros for 2025, which corresponds to around 12 percent of gross domestic product. Indiets such as construction, gastronomy, cleaning and care, but also private services such as craft work without an invoice are particularly affected.
Black labor is significantly harmful to the economy and the state: According to estimates by the German Economy, companies lose 300 billion euros in turnover annually, and the state expires high tax and social security income.
Source: Stern
