Illegal work.

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The number of illegal workers has continued to increase in Switzerland. Today, they account for almost 10 per cent of Switzerland's Gross Domestic Product (GDP). Now the need for the government to crack down on the black economy with a raft of tough measures and penalties has came about.

Between 1999 and 2002, the number of illegal workers in Switzerland has grown by 75 per cent--predominantly in the building, catering and agricultural sectors.

According to the State Secretariat for Economic Affairs (Seco), illegal workers earn CHF37 billion ($295 billion) each year and the Swiss government misses out on millions through lost taxes and welfare contributions.

Both politicians and the business community agree that illegal working is a serious problem and that more needs to be done. But the government's proposal has taken more than four years to reach parliament, and finally, after many discussions and political squabbles between the Right and Left, a compromise has been found.

The main thrust of the government's proposal is to make illegal employment in...

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