Unreported Employment - Reasons

Reasons

Reasons one may work or pay a worker cash-in-hand include:

• Avoidance of wage garnishment or payment of child support or alimony
• Cheaper labor or avoidance of minimum wage laws
• Convenience for both parties
• Elimination of paperwork, bookkeeping, and regulation compliance
• Reduced/eliminated expenses or need for bookkeepers, human resource specialists, lawyers, accountants, payroll services, insurance agents and other employment specialists
• Not having to check or show a criminal record
• Protestation of actions or policies of the governing authorities (see agorism)
• Evasion of insurance requirements
• Flexibility in hiring short-term employees without excessive overhead or paperwork
• Avoidance of exceeding allowable income by a person receiving certain benefits, such as unemployment, disability, or public assistance
• Fugitive, Illegal Immigration, Organized Crime
• Tax evasion, tax resistance, social security evasion
• The lack of minimum wage opens up many employment opportunities under the table, thus decreasing academic qualification, making it easier for the employee to get those jobs.
• Can hire qualified but disliked ethnic people, or blacklisted people (but have done no crime) and can work normally if no social discrimination exists.