IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Cash wage payments in transition economies: Consequences of envelope wages

Listed author(s):
  • Ioana Alexandra Horodnic

    (Alexandru Ioan Cuza University of Iaşi, Romania)

In transition economies, a significant number of companies reduce their tax and social contributions by paying their staff an official salary, described in a registered formal employment agreement, and an extra, undeclared “envelope wage,” via a verbal unwritten agreement. The consequences include a loss of government income and a lack of fair play for lawful companies. For employees, accepting under-reported wages reduces their access to credit and their social protections. Addressing this issue will help increase the quality of working conditions, strengthen trade unions, and reduce unfair competition.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://wol.iza.org/articles/cash-wage-paymentsin-transition-economies-consequences-of-envelope-wages-1.pdf
Download Restriction: no

File URL: http://wol.iza.org/articles/cash-wage-paymentsin-transition-economies-consequences-of-envelope-wages
Download Restriction: no

Article provided by Institute for the Study of Labor (IZA) in its journal IZA World of Labor.

Volume (Year): (2016)
Issue (Month): (July)
Pages: 280-280

as
in new window

Handle: RePEc:iza:izawol:journl:y:2016:n:280
Contact details of provider: Postal:
IZA, P.O. Box 7240, D-53072 Bonn, Germany

Fax: +49 228 3894 180
Web page: http://www.iza.org

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:iza:izawol:journl:y:2016:n:280. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bloomsbury Information Ltd)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.