Work without a contract, wages outside the lists, and employment relationships that exist only in practice. Despite increased controls and institutional pressure, the informal economy continues to be a persistent reality in the Albanian labor market.
The latest data show not only an intensification of inspections, but also a high level of detection of undeclared work, confirming that “undeclared work” remains entrenched in certain sectors of the economy.
During 2025, 205,196 workplaces in 9,532 entities were inspected, an increase of 8% compared to the previous year. In parallel, the effectiveness of targeting controls has also increased. The strike rate of undeclared work reached 27% in 2025, up from 26% in 2024 and 20% in 2023. This trend suggests that inspections are increasingly oriented towards high-risk sectors, where informality remains more widespread.
However, figures from the State Inspectorate of Labor and Social Services show that the phenomenon has not disappeared. During the inspections, 2,999 employees without an employment contract were identified, although this figure is 24% lower compared to last year. The decrease can be related to both gradual formalization and the shift of informality to less visible forms.
A striking element is the fact that 98% of the informal workers identified were formalized during the inspection process, mainly through administrative measures such as suspension of activity. This shows that institutional pressure is yielding immediate results, but also raises questions about the long-term sustainability of this formalization, if controls are relaxed.
Controls have also been expanded to the most vulnerable categories of the labor market. The number of employees under the age of 18 verified has reached 165, an increase of 33%, while 2,484 foreign employees have been checked, 62% more than a year ago. This signals a greater focus on segments where the risk of abuse and informality is higher.
Another indicator of the presence of this phenomenon comes from complaints filed by the employees themselves. 25 complaints were registered for illegal employment, of which 64% were resolved, while 12 complaints were reported for the illegal employment of foreigners, with a resolution rate of 66.6%./Monitor.al/
