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From 9 to 17 March, a coordinated inspection initiative was carried out across the European Union, bringing together authorities from 14 Member States. The operation focused on construction sites with a high presence of workers employed across borders, with the aim of identifying potential breaches related to labour conditions, taxation, and social security obligations.
The campaign particularly focused on companies registered in one country but mainly operating in another. These so-called “letterbox” companies may exploit differences in labour costs and regulations, potentially reducing workers’ pay and protections in the country where they actually work.
Authorities from Austria, Germany, Italy, Ireland, Latvia, Malta, and Romania conducted 13 joint and concerted inspections during the operation. Labour inspectors worked together with customs, tax, police, social security, and migration authorities to strengthen enforcement on construction sites.
Inspectors from several EU countries also joined the operation as observers and partners, underlining growing European cooperation against labour exploitation and unfair competition.
Widespread Suspected Violations
The Week of Action involved:
- 410 workers interviewed
- 128 companies checked
- 27 construction sites inspected
- 144 control officers involved, including European Labour Authority (ELA) staff and international observers
- 14 EU Member States participating overall
Construction remains one of the EU’s most important economic sectors and employs a significant number of cross-border workers. However, enforcing posting of workers legislation continues to present major challenges for national authorities.
Latvia: Focus on Third-Country Workers
Although no issues were found in registration systems, inspectors identified weaknesses in reporting by contractors. These gaps raised concerns about potential undeclared work and inconsistencies in employment records.
Latvian officials stressed that closer monitoring is becoming necessary as posting arrangements are increasingly used in complex labour supply chains. Czech representatives involved in the operation also highlighted the value of enhanced cooperation between labour and tax authorities across borders.
Germany and Romania Conduct Parallel Inspections
A further coordinated inspection effort was carried out simultaneously in Germany and Romania. The inspections found possible irregularities in cross-border postings, including concerns over companies’ economic activity and labour rule compliance.
Romanian inspectors identified a case of employment without a formal contract, at a company premises in Alba County, leading to sanctions against the employer. At the same time, Romanian labour inspectors participated directly in inspections carried out on German territory.
German authorities explained that information gathered in both countries will be used to assess whether posting arrangements were properly established, whether social security obligations were met, and whether workers were paid in accordance with national legislation.
Conclusions
Further investigations arising from the operation will continue in the coming months.