Latvian tax service publishes list of low-paying employers

Take note – story published 5 years ago

Latvia's tax authority, the State Revenue Service, has published a list of 2,605 employers that pay their workers tiny salaries.

The list includes companies and other business entities that have paid their employees the minimum wage (currently €430 a month before tax) or less within a specified time period.

The list is alphabetical, and includes Estonia's Ministry of Foreign Affairs, as well as the Latvian Association of Journalists, Latvian Association of Debates, the Centre for East European Policy Studies, Latvian Writers' Union, and many others.  

This is a tax service initiative to curb Latvia's 'shadow economy'.

"The information about employers whose employees' monthly remuneration is at the monthly minimum wage, or less, has been made available to ensure the safety of the business environment; and to inspire fair competition and voluntary performance of tax obligations," the service says on its website. 

There is no suggestion that any of the entities on the list are violating the law. It may simply be the case that they're paying their employees peanuts. 

According to the annual Stockholm School of Economics in Riga's 'Shadow Economy Index', in 2016 Latvia's shadow economy stood at just about 20% of GDP. The term is understood to mean misreported business income, unregistered or hidden employees, and ‘envelope’ or non-taxed wages.

The full list is available HERE (Latvian, click on 'Informācija Excel failā').

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