Philenews

Why is a Cap Being Placed on the Fine for Undeclared Work?

Published January 7, 2026, 06:19
Why is a Cap Being Placed on the Fine for Undeclared Work?

Questions are being raised regarding the recent legislative initiative that sets a cap on the administrative fine for undeclared work. Undeclared work is considered a serious offense, and many are wondering why the Ministry of Labor is choosing to make the law more lenient for offending employers, reducing the deterrent effect of fines. The increase in the fine due to late payment will no longer be able to exceed twice the initial amount, which raises concerns about the effectiveness of combating undeclared work.