En Negro

[jb5]

Why does such a large portion of the population work en negro? Is this the preference of the employer or employee?

 

[sam3g]

The taxes are supposedly very high working en blanco, and people don't like giving their money away

 

[jaredwb]

Why does such a large portion of the population work en negro? Is this the preference of the employer or employee?

Because the Argentina Govt steals close to 50% of your labor costs in blanco. It's like paying for 1.5 people when only having 1 employee. Not too mention all the additional costs and fees associated with running a business here and paying in blanco.

 

[citygirl]

Employees like getting more money in hand. Employers don't want to (or can't) pay the taxes.

I've heard estimates that as much of 50% of the workforce is en negro

 

[Tangerine]

Because the Argentina Govt steals close to 50% of your labor costs in blanco. It's like paying for 1.5 people when only having 1 employee. Not too mention all the additional costs and fees associated with running a business here and paying in blanco.

I just hate it when the government uses my tax money to pave a street, to pay a cop, to teach a child, to build a hospital, to water the lawns in a park.......
We don’t need government services we need anarchy, chaos and dog s4it on the sidewalks.......

 

[jb5]

Doesn't the government notice that half the population isn't paying taxes?

 

[notebook.fix]

Yes they do notice.

Doesn't the government notice that half the population isn't paying taxes?

 

[citygirl]

Of course but how do you prove it? No employment records/contracts if they audit the businesses, most people don't keep their money in the bank and a lot of people are even getting very cautious about using credit cards so the gov't can't track expenditures.

Tax evasion is almost an art form here.

It sucks for those businesses that do things in compliance. The costs and headache to put people en blanco is overwhelming. It's not an option for us to do otherwise so we deal with it. However, lots of businesses I know, even those that started off en blanco, have switched to having their employees en negro. Or they pay the minimum amount en blanco and anything over that en negro. Many simply are unable to pay the costs associated with doing it en blanco or have done the math and decided that even if they have to pay a settlement for an en negro employee, it is still more cost-effective than putting people en blanco.

 

[jb5]

Can companies make many employees independent contractors/consultants? Is that equivalent to en negro? How does paying en negro impact employee benefits?

 

[jaredwb]

I just hate it when the government uses my tax money to pave a street, to pay a cop, to teach a child, to build a hospital, to water the lawns in a park.......
We don’t need government services we need anarchy, chaos and dog s4it on the sidewalks.......

This is a JOKE, right? HAHAHA

Have you walked on the sidewalks in Buenos Aires? Have you been to a public hospital lately? Have you seen the public schools and the level of "education".

Please, if you really think the outrageously high taxes are going to public services you are an idiot.