Friday, May 25, 2018

Schwarz Arbeit Talk

I sat through a German integration course today, and one of the five big topics of the class was 'schwarz-arbeit' (black work, or unreported income work).

The instructor probably spent at least 25 minutes on the topic....often hyping and stressing that this is 'verboten' (illegal).

Everyone has an opinion on this.  Most working-class Germans will tell you that the underground economy or black work.....is the only way to get ahead.  Some upper-class folks will tell you that they work hard.....to avoid being seen in a black work situation but appreciate having the hidden income existing.

How many Germans are working on the 'black'?  It's hard to say.  The government will cite estimates but they are purely educated guesses.  Universities and foundations will give you a figure and it's based on interviews.  I would take a fair estimate that one of every ten Germans will find some way in an average year to make a bit cash which is not reported.

I worked with a guy in the early 1990s, whose German landlord who had a regular job from Monday through Friday, and had a secretive landscaping service strictly on Saturdays, which he'd net a minimum of 500 Marks in a single day.  Around fifteen years ago, one of my associates brought up his German neighbor who was doing tile work on weekends and probably drawing 15,000 Euro a year via his 'black work'.  Another co-worker brought up a major renovation job going on in his neighborhood, and the chief had brought in a couple of Polish guys who were getting paid sixty-percent of what a German would charge for the same work.

My instructors harsh criticism on the topic?  You are taking money away from the social society that exists in Germany.

I tend to look at this via the capitalist problem.

You have job X, and bring Y amount to the government, which has some budget in their mind and have 700 'gifts' arranged in some order to hand out to the public.  Then one day, you get a black job (x1), and there's this y1 amount of money which you ought to report to the government.  If you did report it.....your tax rate would go up (sadly), and instead of 700 'gifts' arranged to hand out and simply giving you the extra money back (for your own pocket).....they then figure that they can hand out 900 'gifts'.  Things are fine until three years pass, and bad economic times arrive, and you have not not achieved the  y1 amount of money.  Sadly, the 900 'gifts' are now expected, and they raise everyone's taxes to reach the higher amount of money.  If they would just hand you the money back.....people would be fine with this gimmick.  So there is a lack of respect and trust existing.

How the immigrants feel?  My sense in the class is that they just want a job right now, and later on....they will worry about black work.

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