Bavarian Security Firm Fined for 'Wage Splitting' Scheme
A security company in southern Bavaria has been exposed for systematically practicing 'wage splitting' from 2016 to 2021. The Regensburg Public Prosecutor's Office has filed charges against an employee for aiding and abetting wage evasion and misappropriation.
The company's method involved distributing one employee's overtime pay among 16 different colleagues between 2018 and 2019. This was done to avoid exceeding the 450-euro limit and thus evade social security contributions. The defendant confessed to these actions.
Lead Government Director Matschke has condemned this practice, stating that wage splitting is not a minor offense and harms both the social security system and fair competition.
The Regensburg Local Court has sentenced the defendant to a fine of 2,400 euros. This case serves as a reminder of the serious consequences of such actions on both individual and societal levels.
