In Cyprus, undeclared work has fallen from 15% in 2016 to 5% in 2026, Minister of Labor and Social Insurance Marinos Mousiouttas said today.
Mr. Mousiouttas was speaking at a conference organized today and tomorrow in Larnaca by the Ministry of Labor and Social Insurance and the European Labor Authority on the topic “Tackling Undeclared Work and Promoting Fair Labor Mobility in Europe,” marking the tenth anniversary of the creation of the European Platform for Combating Undeclared Work.
He described it as a “great honor” for Cyprus to welcome all attendees to Larnaca “on the occasion of the 10th anniversary of the European Platform for Combating Undeclared Work, a pioneering initiative that reflects our shared European commitment to fair labor markets and the protection of workers’ rights across the European Union.”
He added that “since the Platform’s establishment in 2016, Cyprus has been a steadfast and active supporter, recognizing from the outset the vital importance of coordinated European action to tackle undeclared work and ensure fair competition, decent working conditions, and social cohesion.”
“Our country has consistently and constructively contributed to the Platform’s work, actively participating in its meetings, joint actions, and policy exchanges,” he said.
Over the past decade, the Minister continued “the Platform has evolved into a key European mechanism for strengthening cooperation among the relevant national authorities and for facilitating more effective cooperation among Member States in combating undeclared work throughout the European Union.”
He noted that “this issue remains a complex challenge that undermines workers’ rights, distorts fair competition, and deprives national economies of substantial revenue. At the same time, it undermines trust in institutions and jeopardizes the principles of justice and equality that lie at the heart of the European social model,” he said, adding that “Addressing this phenomenon is not only an economic necessity but also a matter of social justice and institutional responsibility.”
Referring to Cyprus, Mr. Mousiouttas said that “it has fully and constructively utilized the Platform’s cooperation tools and mechanisms, including the organization of two actions under the Mutual Assistance Program during the 2018–2024 period.”
According to the Minister of Labor, these initiatives proved particularly valuable in supporting the further development of Cyprus’s Labor Inspection system during a critical phase of institutional strengthening.
At the same time, he continued, “they contributed significantly to the development of the necessary technical expertise, the strengthening of institutional capacity, and the promotion of more structured and effective inspection procedures.”
Furthermore, he added, “Cyprus has actively participated in joint inspections, both within the country and in cooperation with other Member States. These actions have yielded tangible results, particularly in terms of improving our operational expertise and strengthening cross-border cooperation,” he said.
Referring to the Platform’s achievements, he said that “one of the greatest was the systematic exchange of best practices and expertise among member states. Through this process, we were able to draw lessons from the experiences of our European partners and adapt successful approaches to our national context, further strengthening enforcement mechanisms and improving the effectiveness of inspections.”
These efforts, the Minister of Labor noted, “contributed to reducing undeclared work from 15% in 2016 to 5% in 2026.”
He also noted that “Cyprus firmly believes that combating undeclared work is not merely a matter of regulatory compliance, but a broader issue of social justice, economic resilience, and institutional credibility.”
In this context, he said, “strengthening cooperation among Member States remains essential to ensuring that labor mobility within the European Union is based on transparency, equal treatment, and effective protection for both workers and businesses.”
The Minister of Labor also noted “with particular satisfaction,” as he put it, “the achievement of the Cypriot Presidency, which, after ten years of negotiations, managed to reach an agreement with the European Parliament and secure the approval of the member states for the revision of the regulation on the coordination of social security systems.”
Mr. Mousiouttas stated that “this is an important step forward in ensuring that every worker who moves within the European Union is protected and treated fairly.”
“This development has a tangible impact on citizens, as it strengthens the rights and social protection of mobile workers, provides greater legal clarity, and modernizes the framework governing long-term care benefits, family benefits, and unemployment benefits in line with contemporary needs,” he added.
In his speech, Mr. Mousiouttas also noted that “Cyprus, looking to the future, remains fully committed to supporting the work of the Platform within the framework of the European Labour Authority. We will continue to invest in cooperation, knowledge sharing, and coordinated action, with the common goal of promoting fair working conditions and protecting workers across Europe,” he concluded.
