Robert Czyżak, President of the Polish Funeral Industry Chamber (PIBP), has expressed support for the government’s announcement to establish a so-called “Super Office” to combat the shadow economy. This initiative aims to significantly increase inspections and introduce legislative measures to tackle illegal employment practices.
The “Super Office” to Combat the Shadow Economy
According to media reports, the government plans to create a specialized “Super Office” comprised of representatives from various ministries, offices, and potentially law enforcement agencies. This office will analyze data from different sectors and develop tools to counter illegal activities within businesses.
“The Polish Funeral Industry Chamber welcomes the announcement of the ‘Super Office’ to fight the shadow economy,” says Robert Czyżak, President of PIBP.
Only One in Four Funeral Companies Employs Workers Legally
Czyżak reminds us that the PIBP has long urged policymakers to address this issue. “We have repeatedly called for increased inspections of companies in our sector that do not employ staff using any legal forms of employment,” he states.
The funeral services market in Poland comprises over 2,000 companies, but only one in four employs workers and pays the required taxes and social insurance contributions. “Today, more than 6,000 people may be working in the funeral industry without proper registration. We estimate that this practice costs the State Treasury approximately PLN 3 billion annually,” Czyżak warns. He believes that honest funeral companies employing qualified staff cannot compete with such widespread malpractice.
“We are pleased that the Super Office will include employees from the State Labour Inspectorate and the Social Insurance Institution (ZUS). ZUS has an ideal tool for auditing funeral businesses because a funeral allowance requires an invoice issued to the deceased’s family. Verifying such companies and determining their employment practices during service organization is straightforward,” he adds.
PIBP Ready to Collaborate with the Super Office
Despite this, Czyżak points out that ZUS has not yet utilized this capability. “The Polish Funeral Industry Chamber is ready to collaborate with the new office to tighten regulations within the industry. This could lead to a faster increase in funeral allowances, easing the financial burden on families arranging funerals,” he asserts.
He notes that the lack of regulation in the funeral sector causes significant harm. “We increasingly hear that families need to take out loans to give their loved ones a dignified farewell,” he says. Measures to eliminate or reduce the shadow economy could reverse this trend. “The State Treasury would gain significant revenue, which could be used to raise funeral allowances more quickly,” Czyżak predicts.
A Draft Amendment to the Funeral Law Awaits Action
Czyżak also mentions that a draft amendment to the Funeral Law, ready for almost two years, includes solutions to address the shadow economy. “The draft mandates that funeral service companies employ staff under employment contracts, ensuring workers receive benefits and the State Treasury collects necessary funds for payouts,” he explains.
The draft amendment has been in the so-called “government freezer” for over 18 months. According to PIBP, it is ready for immediate approval by the Council of Ministers and subsequent parliamentary review.
Source: ManagerPlus