Monday September 14 2009 18:13
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But the system is not a cause for unqualified congratulations, according to a report by the Court of Auditors, the body that oversees government spending. In many cases, the court said, the jobs created are low-quality, with only part-time contracts.
In addition, the government has understated the cost of this form of “social employment,†the report says. In 2005, the system cost €239 million. Last year, by contrast, the cost was €880 million. Despite the fact that part of that comes back to the treasury in the form of tax and social security contributions, the rise is significant.
Elsewhere, the report criticised the lack of control by the authorities over the businesses that actually operate the system – companies that are supposed to be authorised by the government agency RVA, but which in practice are often involved in activities for which the cheques are not intended, with little or no scrutiny by the authorities.
Labour minister Joelle Milquet, reacting to the
report, said her department had already taken or was in the process of
taking measures to strengthen controls on the system. They include
better cooperation between inspection services, tougher requirements
for authorised businesses and tighter scrutiny of the financing of the
system to be carried out by the National Bank.
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