An IT system that helps social security institutions across the EU exchange information more rapidly and securely, as required by the EU rules on social security coordination.

[ https://ec.europa.eu/social/main.jsp?catId=869 ]

A term that covers all policy measures beyond the deterrence approach. It includes incentives, and indirect policy measures. It aims to encourage compliance by using either incentives or improving the commitment to compliance with labour, tax and social security law and regulations among the public.

[Eurofound (2013), op cit.]

A body designated by a national government to ensure that there is compliance with specific bodies of law (e.g., labour, tax and/or social security law).

Adopted in 2014 with the aim of strengthening the practical application of, and complementing, the 1996 Posting of Workers Directive by addressing issues related to fraud, circumvention of rules, and exchange of information between the Member States. This Directive also facilitates enforcement of administrative sanctions across borders.

[ http://ec.europa.eu/social/main.jsp?catId=471 ]

Often used in the context of under-declared employment, an envelope wage is a cash-in-hand wage paid by a formal employer to a formal employee in addition to their official declared salary, to reduce their tax and social security payments and therefore labour costs. It arises from an agreement between the employer and employee, and additional conditions may be attached to its payment, which are not in the formal written contract or terms of employment.

When designing and implementing a full policy operationalisation model, the results of relevant ex-ante (impact assessments) and ex-post evaluation should be used as sources of information when preparing decisions and determining the effectiveness and efficiency of policy measures for tackling undeclared work. Pilot studies are also an accepted tool for evaluating the effectiveness of a policy approach and measures.