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Monday 16.07.2018 | Name days: Hermīne, Estere

State Labour Inspectorate launches inspection of SIA Koblenz for possible fictive employees

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Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RULatvia’s State Labour Inspectorate has commenced an administrative procedure in relation to SIA Koblenz security firm’s possible fictive employment of security staff from other firms, as confirmed by SLI representative Megija Ekkerte.

This inspection was launched following a request from Riga City Council deputy Sandis Riekstiņš. According to him, Koblenz employees have provided him with information regarding possible employment relationship violations. SIA Rīgas satiksme hired Koblenz, which then signed contracts with sub-contractors that hired security staff for properties owned by RS – car parks on Vestienas Street and Kleistu Street.

«According to information provided to me, contracts were signed with several sub-contractors over the course from 2013 to 2017. Those sub-contractors, according to data from Lursoft database, had accumulated tax debts and had been liquidated in the end,» said Riekstiņš.

He also mentioned that those sub-contractors had only partially paid social insurance fees and had employed security employees without appropriate certificates, and had also presented false labour records. «Employees work without paid vacation and sick leave papers,» explains the deputy.

Riekstiņš turned to SLI, State Police and State Revenue Service with this information, asking authorities to commence an investigation for possible violations.

According to State Police, an inspection was performed at both properties owned by RS and protected by Koblenz. An administrative violation procedure has been commenced based on what was discovered during inspections. None of the possible sub-contractors’ security officers were found at their jobs, however.

A representative of State Labour Inspectorate has confirmed that the inspection has received several applications associated with Koblenz Security this year. At the same time, it is noted that existing complaints were submitted not about the company, but its sub-contractor, which had possibly violated the Labour Law.

The procedure in regards to possible violations continues. Because of that, the representative of the State Labour Inspectorate refused to comment the matter in more detail.

According to information from Riekstiņš, sub-contractors that had previously provided security services for properties owned by Rīgas satiksme include SIA DGS Birojs, which was liquidated in 2017, SIA EG&RK, which owes tax debts worth EUR 378,198, and SIA Valnis DR, which had debts worth EUR 231,826 and was liquidated in June 2018.

Other sub-contractors in question include SIA CAPLV, which has tax debts worth EUR 84,429, and SIA Termolate with tax debts worth EUR 235,887.

Koblenz representatives say they have no information about any administrative procedures performed by SLI or SP. ‘The aforementioned institutions have not turned to us with any questions or inspections. State Police regularly performs every-day measures at different objects. It is usual practice and it applies to absolutely all security businesses,’ explains the company’s representative Lauris Vašuks.

He also said the company carefully follows the situation at all objects in which security services are provided, even if services are provided by sub-contractors. The company also states that it makes sure all security staff members have valid security certificates and employment contracts.

«This information is likely associated with out-dated information, because in 2017 one of our sub-contractors acted dishonestly towards their employees and delayed paying wages to them. Koblenz terminated its contract with that firm in 2017,» says Vašuks.

State Police has yet to comment on this situation.

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