Cleaning Companies Fined 700000 Euros for Illegal Cash Payments

Two cleaning companies operating in Amsterdam and Zaandam were hit with over 700,000 euros in administrative fines by the Netherlands Labour Inspectorate, following investigations that uncovered cash-in-hand wage payments and off-the-books employment records. De Orkaan reported that inspectors seized the companies’ assets to guarantee collection of the penalties.

Labour Inspectorate Discovers Cash Payouts and Missing Records

The enforcement action began after authorities received tips regarding illicit cash wages and unregistered workers across multiple locations in Amsterdam and Zaandam. According to the Dutch-language news site deorkaan.nl, inspectors searched various sites including a hotel chain, an accountant, and two cleaning firms. The two cleaning companies bore the brunt of the initial penalties, receiving fines of 256,000 euros and 235,000 euros respectively. During the hotel inspection, authorities found bags of cash used to pay cleaning staff directly. The businesses failed to produce complete personnel records for dozens of workers, leaving it impossible to verify whether staff received the statutory minimum wage and appropriate holiday allowances.

Foreign National Employment Violations Add 212,000 Euros in Fines

Beyond wage and administration failures, the companies violated the Minimum Wage and Minimum Holiday Allowance Act alongside the Foreign Nationals Employment Act. The Labour Inspectorate issued an additional 212,000 euros in fines for those specific infractions. De orkaan.nl noted that a total of 14 workers were identified as lacking the mandatory authorization to work in the country, a figure cited alongside the broader regulatory sweep. Authorities seized the assets of the targeted cleaning businesses to secure payment for the accumulated fines.

Ongoing Investigations Into Hotels and Bookkeepers

While the primary fines against the cleaning contractors have been levied and asset seizures executed, the broader enforcement operation remains active. De orkaan.nl noted that parallel investigations into the involved hotel chain and accountant are still underway and have not yet concluded. The names of the targeted businesses have not been publicly disclosed by regulatory authorities.