Small Business, Enterprise and Employment Bill

Debate between Lord Morris of Handsworth and Lord Popat

Monday 26th January 2015 Grand Committee

[Lord Popat]

My Lords, we have a very strong HMRC enforcement regime. We do not see any point in giving the power to local authorities. However, HMRC has regional offices to enforce the legislation. Of course, many other government departments play an important role in enforcing it.

[Lord Morris of Handsworth (Lab)]

Is the Minister aware that a lot of people on the minimum wage do not have the information and that some people do not have the ability to work out what their entitlements are? What steps can be taken therefore, in a form which informs the employee, to the point where they are getting what they are entitled to and do not have to seek any external assistance, whether through an inspectorate or otherwise? It is a duty and a responsibility that the spirit of the national minimum wage when it was introduced should be upheld. It was introduced to be helpful rather than to be put in a legal straitjacket whereby people are not getting the underlying justice that was its intention.

[Lord Popat]

The noble Lord, Lord Morris, raises the important issue of how we help to ensure that people are paid the minimum wage and what guidance we give them on working out by how much they are being short-changed. Since 2013, we have published detailed new guidance on calculating the national minimum wage, which is available on the GOV.UK website. We have also updated several GOV.UK pages which hold information about the national minimum wage. This includes new information about current and future national minimum wage rates, a worker’s checklist, guidance on work experience and internships, information on the increased penalty for breaching the national minimum wage and the revised criteria for naming and shaming employers who breach national minimum wage legislation. Therefore, quite detailed information is available for workers to help them work out by how much they might have been short-changed in cases of people being paid less than the national minimum wage.