The recent storms have not only caused billions in damage, but will also boost illegal work in the coming months, says Linz economist and emeritus university professor Friedrich Schneider. Schneider estimates that illegal work will increase by 250 million euros in the next six months – from October to March next year.
The economist has so far estimated the total turnover of undeclared work this year at 34.52 billion euros. This means that the value should rise to 34.77 billion euros within twelve months. However, according to Schneider, this estimate assumes that the victims will receive the aid of 500 million euros promised by the EU. “If the money does not reach those affected, undeclared work will continue to rise,” adds the economist.
Schneider estimates the total damage from the flood to be around 1.5 billion euros. However, this estimate is subject to an uncertainty of plus or minus 20 percent.
