Improving compliance with the local labour laws as announced by Public Health, Social Development and Labour VSA Minister Emil Lee (see Thursday paper) is always welcome. Regulations are meant to be respected and when the contrary takes place on a
widespread basis it undermines the very rule of law.
Finding better options for enforcement than some of the rather cumbersome procedures described seems sensible enough, because experience teaches that without effective sanctions doing so is practically a “mission impossible.” The minister is realistic enough to understand that there continue to be a number of so-called undocumented workers active on the island and it would be naïve to think this situation can be resolved from one day to the next, for reasons of control capacity, but also due to the social-economic shock that could bring about.
One thing to keep in mind is that payment of social premiums and taxes for personnel in principle has nothing to do with their legal status. Businesses are obligated to deduct these from all employees in their service and transfer the funds to the relevant government agencies.
Failure to do so is not only wrong but downright criminal, especially when the money is withheld but not passed on. Files of Social and Health Insurance SZV and the Tax Inspectorate are completely separate from those of Immigration and the Labour Inspectorate, so the lack of a valid employment permit may never be an excuse not to meet one’s corporate fiscal and collective social responsibilities.
