Exploitation of Workers: Barbers Targeted as Fall Guy
The Finance Minister, Lars Klingbeil, has announced a new law against "black work" (undeclared work) that will shift the responsibility of enforcement to barbershops, nail salons, and cosmetics salons. This focus on the hairdressing and cosmetics industry, despite higher financial crime and tax evasion in other sectors, is largely driven by health and safety concerns.
The industry, which employs over 100,000 businesses with few staff, has been under scrutiny due to the direct links between toxic chemical exposure in salon work and serious health outcomes. Mounting scientific and legal evidence, such as lawsuits alleging cancer caused by hair dye and relaxers, have highlighted the urgency to regulate and monitor this industry to protect vulnerable workers and consumers.
The health risks associated with certain cosmetics products, particularly those marketed to Black women, have been linked to cancer and reproductive health issues, including hormone disruption and increased risks of uterine and bladder cancers. This focus on health and safety is particularly important for salon workers, who often face hazardous working conditions and suffer disproportionate health disparities.
Moreover, the cosmetics industry has regulatory gaps, such as non-disclosure of harmful ingredients hidden under "fragrance" labels. These gaps have allowed dangerous chemicals to circulate unchecked in consumer products.
While the construction industry may have a higher absolute prevalence of financial crimes and tax evasion, the cosmetics and hairdressing sector draws attention due to these health concerns and regulatory gaps.
It is important to note that the new law against black work is not specified to target any particular industry beyond the mentioned salons. The initiative of 1,350 criminal proceedings in the hairdressing and cosmetics industry in 2024 indicates a lower level of black work and exploitation compared to the construction industry, where control density is lower.
The battle against financial crime and tax evasion, if pursued, would bring significant financial gains to the state, with annual net gains estimated to be at least two-digit billions. However, the focus on the hairdressing and cosmetics industry, where mainly immigrants open new businesses, has been perceived as stigmatization and scapegoat politics by some.
References:
[1] Environmental Working Group. (2021). Skin Deep® Cosmetics Database. Retrieved from https://www.ewg.org/skindeep/
[2] Breast Cancer Fund. (2021). No More Toxics. Retrieved from https://www.breastcancerfund.org/our-work/policy-and-legislation/no-more-toxics/
[3] National Institute of Environmental Health Sciences. (2021). Cosmetics and Personal Care Products. Retrieved from https://www.niehs.nih.gov/health/topics/agents/cosmetics/index.cfm
[4] Campaign for Safe Cosmetics. (2021). Toxic Chemicals in Cosmetics. Retrieved from https://www.safecosmetics.org/
[5] Union of Concerned Scientists. (2021). Chemicals of Concern in Cosmetics. Retrieved from https://www.ucsusa.org/resources/chemicals-of-concern-in-cosmetics
The focus on regulating and monitoring the cosmetics and hairdressing industry is driven by concerns about health risks associated with toxic chemical exposure in salon work, as well as regulatory gaps that allow harmful chemicals to circulate in consumer products.
Despite a higher absolute prevalence of financial crimes and tax evasion in other sectors, this industry draws attention due to these health concerns and regulatory gaps, with the new law against "black work" serving to promote health and safety for vulnerable workers and consumers.
