An Icelandic union points out that people are often hired to do work for wages below what is considered acceptable by labour law.
In a statement from the Federation of General and Special Workers in Iceland (SGS), the union points out that one can often find job offers on public forums and message boards such as Bland.is, including jobs involving housework that offer a wage below the legal limit.
“If you pay someone 2,500 ISK an hour to clean your home, you are definitely paying them below the legal limit,” the statement reads in part. “If you accept 2,500 ISK an hour to clean someone else’s home, you are not receiving a fair wage for your work. If you pay or accept unreported pay, you are breaking the law.”
SGS points out that by law, the pay you receive before tax goes to a variety of societal functions, such as to the pension fund, insurance, and sick leave. By working under a legal contract, you not only receive such legally guaranteed benefits as December bonuses and summer vacations; your salary also increases with each year, and might be raised higher depending on your level of education or experience.
The statement contends that paying or accepting cash-on-the-barrel for work is unacceptable, “as you are cheating society and everyone will be worse off.”
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