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Until now, most scholars have used one of four competing theories to explain undeclared work. Political economy theories explain undeclared work as resulting from the exclusion of workers from formal work and welfare, neo-liberal theories explain such work as a voluntarily chosen rational economic decision and neo-institutionalist and post-structuralist theories explain those engaging as social actors who disagree with the formal rules or seek to help others out respectively. Recognising that each theory focuses upon different employment relationships, this paper evaluates the proposition that these different theories are more explanations of different types of undeclared work.

To evaluate this, data reported is collected in 2019 across 28 European countries (the 27 member states of the European Union and the United Kingdom) in special Eurobarometer survey 92.1 involving 27,565 interviews.

Of the 3.6% of citizens participating in undeclared work, 10% engage in undeclared waged employment, 42% in undeclared self-employment and 48% in undeclared paid favours. Reporting their rationales, 7% state purely political economy exclusion-driven reasons, 19% solely neo-liberal rational economic actor reasons, 20% purely social actor reasons and 54% mixed motives. A logistic regression analysis finds those engaging in undeclared waged employment significantly more likely to state purely exclusion-driven rationales, those engaging in undeclared self-employment significantly more likely to state neo-liberal rational economic actor and neo-institutionalist social actor rationales and those engaging in undeclared paid favours post-structuralist social actor motives.

This finding suggests that the policy initiatives required to tackle undeclared work will vary according to the type of undeclared work addressed. These are outlined.

Evidence is provided that a different weighting needs to be given to different theories when explaining each type of undeclared work.

Viewing undeclared work as low‐paid, exploitative, organised employment conducted under sweatshop conditions, public policy has widely treated this illegitimate sphere as a hindrance to development and actively pursued its deterrence using stringent regulations and punitive measures to change the cost‐benefit ratio for those considering participation in such endeavour. In this paper, however, the intention is to evaluate critically this portrait of the nature of undeclared work and resultant public policy approach.

To evaluate this representation of undeclared work and consequent public policy approach, empirical evidence is reported from 861 face‐to‐face interviews in English localities.

The finding is that the majority of undeclared work is undertaken on a self‐employed basis by people who have identified an opportunity to provide a good or service and are taking a calculated risk in order to fulfil others needs.

Future research will need to further investigate this relationship between self‐employment and the undeclared sector.

Identifying that the undeclared sphere is predominantly composed of self‐employed endeavour, a call is made for greater emphasis in public policy on developing initiatives to legitimise this illegitimate self‐employment, rather than simply deterring such work.

By re‐reading the nature of undeclared work as primarily composed of self‐employed activity, it highlights the need for public policy to stop treating undeclared work purely as something to be deterred and for more emphasis to be put on developing enabling initiatives to help such workers formalise their business ventures.

The purpose of this paper is to compare and contrast the nature of undeclared work in South East Europe and the rest of the European Union and in doing so, to evaluate critically the validity of depicting the character of undeclared work as being the same everywhere.

A 2007 survey of undeclared work is reported, conducted in 27 European Union (EU) member states involving 26,659 face‐to‐face interviews. This paper focuses on the results of the 2,432 interviews conducted in five South East European countries, namely Bulgaria, Cyprus, Greece, Romania and Slovenia.

In South Eastern Europe, more undeclared work is found to be waged employment and conducted by marginalised population groups out of necessity compared with other EU regions. Nevertheless, and similar to other EU regions, most undeclared work is conducted on an own‐account basis, rather than as waged employment, for close social relations, rather than anonymous employers, and out of choice rather than necessity, although different mixtures prevail in different places and populations both within South Eastern Europe and across the EU as a whole.

This recognition of the multifarious work relations and motives involved in undeclared work, and different mixtures in varying populations, displays the need to move beyond treating undeclared work as everywhere the same and towards nuanced spatially sensitive representations.

Given the proportion of undeclared work conducted on an own‐account basis and for closer social relations, this paper reveals that if South East European governments continue to seek its eradication, they will deter with one hand precisely the entrepreneurship and mutual aid that with another they are seeking to nurture.

This is the first evaluation of undeclared work in South East Europe and the EU.

The temporary enforced closure of businesses in response to the coronavirus pandemic has resulted in governments in Europe and beyond offering short-term financial support to the businesses and workers affected. The purpose of this paper is to evaluate a group of workers unable to benefit from the short-term job retention schemes and support to the self-employed made available by governments, namely, those whose paid work is comprised wholly of undeclared work, and how this could be addressed.

To identify those whose paid work is entirely undeclared, a Eurobarometer survey of undeclared work in Europe is reported conducted in September 2019, just prior to the pandemic, and involving 27,565 face-to-face interviews in 28 European countries.

The finding is that the paid work of one in every 132 European citizens is comprised wholly of undeclared work, and these workers are concentrated in non-essential businesses and activities severely affected by the lockdown. These workers whose paid work is comprised wholly of undeclared work are significantly more likely to be widowed or divorced/separated, living in households with three or more adults, without children and most of the time have financial difficulties in making ends meet.

Given that businesses and workers in the undeclared economy are largely unable to work under lockdown, it is argued that providing access to short-term financial support, through a regularisation initiative based on voluntary disclosure, would not only provide the income support these workers need but also bring them out of the shadows and put them on the radar of the state authorities, thus transforming undeclared work into declared work.

This paper shows how in the current or repeat lockdowns, the short-term financial support made available by governments can be used to transform undeclared work into declared work.

During the transition from socialist to post-socialist regimes, many Central and Eastern Europe societies have developed a broad sector of informal work. This development has caused substantial economic and social problems. The paper aims to discuss these issues.

This paper aims to answer two questions regarding European countries with a relatively weak economy and welfare state: what are the differences in the social characteristics between workers in formal and informal employment? And how might they be explained? According to the main assumption, a key reason why people work in undeclared employment in such countries is that they are in particularly vulnerable positions in the labour market. This paper uses the example of Moldova. The empirical study is based on a unique survey data set from the National Statistical Office of Moldova covering formal and informal employment.

The findings show that, in informal employment, workers in rural areas, workers with a low level of education, young workers and older workers – in the final years of their careers and after the age of retirement – are over-represented. It seems that a significant reason why these workers are often engaged in informal employment is the lack of alternatives in the labour market, particularly in rural areas, compounded by limited social benefits from unemployment benefits and pensions.

Research about social differences between workers in formal and informal employment in the countries of the European periphery is rare. This paper makes a new contribution to the theoretical debate and research regarding work in informal employment.

This paper develops novel proxies for labour tax avoidance (LTAV) and tests their validity within a sample of 189 labour tax-avoidant offending firms (LTAOFs) accused of evading social security contributions (SOCs) by public authorities.

LTAV proxies are based on abnormal values of SOCs paid, reported in the income statements of a sample of 857,790 Spanish firm-years for the period 2001–2015, estimated through two-stage least square panel data regressions with firm fixed effects.

The results reveal that proxies specifically built to signal both conforming and non-conforming LTAV can provide evidence of abnormally low SOCs as expenses within the sample of LTAOFs. Furthermore, firm-specific financial variables as well as macroeconomic variables significantly influence LTAV.

This study could foster further research on the efficacy of the LTAV proxies and on the drivers and sustainability implications of LTAV for firms and their stakeholders in different socio-economic and institutional contexts.

These LTAV proxies could integrate other methods applied to estimate the undeclared work and its trends. Furthermore, they may assist tax authorities to direct their inspections, detect labour tax evasion and then strengthen the social protection of the employees from employers' illegal exploitation practices, as well as reducing tax revenue shortfalls and related sustainability concerns in the social security systems.

This study proposes a novel methodology to examine LTAV and its determinants through accounting information. This methodology may support researchers to provide a more comprehensive picture of tax planning strategies pursued by companies, that include LTAV, and in this way integrate the extant mature literature on income tax avoidance.

A dominant belief is that the continuing encroachment of the market economy into everyday life is inevitable, unstoppable and irreversible. Over the past decade, however, a small stream of thought has started to question this commercialization thesis. This paper seeks to contribute to this emergent body of thought by developing a “whole economy” approach for capturing the multifarious economic practices in community economies and then applying this to an English locality.

A survey conducted of the economic practices used by 120 households in a North Nottinghamshire locality in the UK is reported here, comprising face‐to‐face interviews in an affluent, middle‐ranking and deprived neighborhood.

This reveals the limited commercialization of everyday life and the persistence of a multitude of economic practices in all neighborhood‐types. Participation rates in all economic practices (except one‐to‐one unpaid work and “off‐the‐radar” unpaid work) are higher in relatively affluent populations. Uneven development is marked by affluent populations that are “work busy”, engaging in a diverse spectrum of economic practices conducted more commonly out of choice, and disadvantaged populations that are more “work deprived”, conducting a narrower array of activities usually out of necessity.

This snapshot survey only displays that commercialization is not hegemonic. It does not display whether there is a shift towards commercialization.

Recognition of the limited encroachment of the market opens up the future to alternative possibilities beyond an inevitable commercialization of everyday life, intimating that the future will be characterized by the continuing persistence of multifarious economic practices rather than market hegemony.

The paper provides evidence from a western nation of the limited commercialization of daily life.

The purpose of this paper is to reflect on the effectiveness of labour law based on the experience of Germany.

The article provides an analysis of the factual impact of labour law in Germany.

Different subsystems – as are labour administration, labour court system, works council system, collective bargaining system and individual labour law protection – show deficiencies of factual implementation which are inherent to the structure of these subsystems and not easily to be changed. The most problematic area are small and medium‐sized enterprises where to a great extent works councils as internal monitors do not exist.

The paper offers some randomly selected examples to illustrate the problems at stake.

This article aims to explore the engagement of refugees and asylum seekers (RAS) in informal and precarious jobs from a civil society actors' perspective. Despite a burgeoning literature on refugee integration and a focus on institutional integration programmes, little is known about the early insertion of RAS into informal and precarious employment as an alternative to subsidised integration programmes, when these are available.

This article draws on rich qualitative data collected through in-depth interviews with social workers, volunteers and other professionals supporting migrants.

Data analysis shows that migrants' insertion in informal jobs and their rejection of integration programmes may be the result of people's need to access financial capital to cover actual and future needs. Although such an engagement may be criticised for hampering RAS’ integration, it can be seen as an important source of agency against insecurity surrounding one's legal status.

This article highlights the importance of legal status precarity in shaping informal workers' agency and perceptions of them, opening up a debate on the relevance of informal work in terms of long-term integration and future migration trajectories.

For many decades, European national governments sought to stamp out undeclared work using a repressive approach. In the changing economic context of declining employment participation rates, however, the European Commission has called for a new approach to transform undeclared work into declared work. This necessitates public policy innovations. The aim of this paper is to evaluate the degree to which this European Commission call for policy innovation has been adopted by European national governments.

To evaluate this, the results are reported of an e‐survey conducted in 2010 of 104 senior stakeholders from government departments, trade unions and employer organisations in 31 European countries, and 24 follow‐up in‐depth interviews.

The finding is that although European nations have responded to the changing economic context and the resultant call by the European Commission for a new approach by adopting an array of innovative new policy measures to facilitate the declaration of undeclared work, stamping out such endeavour through repression measures remains the principal approach in most nations.

Until now, few studies have evaluated critically the different policy approaches adopted by European national governments to tackle undeclared work. This paper fills that gap.

This paper reveals that if undeclared jobs are to be transformed into declared jobs and economic inclusion promoted, national governments will need to accord more priority to innovative new policy measures to legitimise declared work than is currently the case.

This is the first critical evaluation of whether the European Commission call for innovative new policy measures when tackling undeclared work has been implemented.