What is Unreported Employment ?
‘Unreported Employment’ refers to a kind of employment that the state and the government doesn’t know about. It is also known as moonlighting, cash-in-hand employment or under-the-table employment.
Unreported employment is beneficial to both the employer and the employee since the employer can pay the employee less and the employee need not pay any kind of taxes. The government loses in this though.
There might also be other unethical benefits of unreported employment such as avoiding background check, avoiding paperwork and insurance requirements. Hence, it is generally found in industries such as domestic help, masonry, plumbing, sewer cleaners and other forms of casual employment.