POSTING OF WORKERS IN THE CONSTRUCTION INDUSTRY: AN OVERVIEW OF ALBANIA COUNTRY PRACTICES
Keywords:
integration process, construction industry, labour market, posting of workersAbstract
This paper is part of a research on posting in the construction industry in Albania and starts from the collaboration between the Polis University and Fondazione Giacomo Brodolini for YES Project (Youth Employment Skill Set on Posting). The intensification of the European integration process increases the pressure and responsibility of Albania to ensure a more efficient labour market. With the status of candidate country, currently Albania benefits in addition to component I - Transition Assistance and Institution Building and Component II - Cross-border Cooperation, also from component IV IPA - Human Resources Development, a transitional assistance for fund management of the European Social Fund in the future. This component is designed to help Albania meet more easily the future global challenges of employment and social cohesion, further boosting the country's development.
Although there isn't a government website in Albania that focuses on informal work, several job promotion initiatives were launched in 1999 to encourage both training and employment. As part of those efforts, firms were given financial incentives to recruit unemployed people for a set length of time, and vulnerable groups like marginalized women were the focus of particular employment programs. Additionally, in 2004 referring the informal employment situation and its action plan, Albania fixed personal income tax at 10% in an effort to decrease the work informality.
Construction in Albania has brought attention to the problem of inadequate enforcement of labor laws and practices. The public sector still struggles with corruption, which significantly hinders the efficient execution of legislation pertaining to informal employment. Employer payroll taxes are not correlated with employee payroll lists, making it difficult to identify tax fraud by employers through nonpayment of contributions and having a negative impact on employees' future pensions.
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