Employers who owe their workers thousands of pounds for failing to pay them the National Minimum Wage (NMW) have been named by Business Minister Jo Swinson.
On the 27 November 2014, a further 25 employers who failed to pay their workers the National Minimum Wage were named under the revised naming scheme – introduced in October 2013. The scheme was revised to make it simpler to name and shame employers that do not comply with minimum wage rules. Between them they owe workers a total of over £89,000 in arrears and have been charged financial penalties totalling over £36,000.
The government has already named 30 employers since the new regime came into force. They had total arrears of over £50,000 and total penalties of over £24,000
Business Minister Jo Swinson said:
“Paying less than the minimum wage is wrong and illegal. Employers need to know that they will face tough consequences if they break the law.
All workers are entitled to the minimum wage. This isn’t a generous gesture, this is the law. Government takes the enforcement of workers’ rights seriously and those who don’t pay will be named, shamed and fined.
If anyone suspects they are not being paid the wage they are legally entitled to, they can call the Pay and Work Rights Helpline for free and confidential advice and to make a complaint.”
The government has introduced a series of tougher measures to crack down on employers that break National Minimum Wage law. As well as being publicly named and shamed, employers that fail to pay their workers the National Minimum Wage also face penalties of up to £20,000.
The government is also legislating through the Small Business, Enterprise and Employment Bill so that this penalty can be applied to each underpaid worker rather than per employer.