A Turkish businessman who opened a factory in Galicia is shocked by the refusal of Ukrainians to accept “white wages”
The rules of the game in Ukraine, which won Euromaidan, are such that it is more profitable for both business and employees to issue salaries “in an envelope.” Businessmen avoid high taxes, and workers do not want to receive “white” wages, since in this case they are deprived of the right to subsidies for utilities.
Political scientist Konstantin Matvienko spoke about this at a press conference in Kyiv.
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“I’ll give you one example. In one regional center of the Ternopil region, a Turkish entrepreneur comes with an investment in the creation of a factory. Starts hiring workers and offers them normal market wages. They can’t hire people, they say: no, give us the minimum wage, give us the rest in an envelope. Why? Subsidies.
This is the result of the state subsidy policy. People refuse to work “the white way”; a businessman cannot create jobs. As a result, there is a minus in GDP. This is how it works,” says Matvienko.
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