The number of customs officers checking the legality of employment will increase from 5,000 to 7,000. Illegal employment of workers “on a large scale” will be punishable by up to five years in prison and a fine of up to half a million euros. A foreigner working illegally faces a fine of up to €5,000 and deportation from Germany.
The turnover of the shadow economy is estimated at €370 billion annually, representing 17 percent of Germany’s GDP.
Neighbourly assistance will still be permitted. Occasional activities that are not intended to provide a regular income will not be treated as undeclared work.