National Minimum Wage Naming Scheme

Paula Sherriff Excerpts
Tuesday 4th June 2019

(4 years, 10 months ago)

Commons Chamber
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Kelly Tolhurst Portrait Kelly Tolhurst
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I thank my hon. Friend for his comments. Her Majesty’s Revenue and Customs will investigate any complaint that it receives about underpayment of the national minimum wage. We also have ACAS, which provides a helpline for individuals who feel that they are not being paid the national minimum wage. Naming and shaming is part of our toolkit of enforcement, but, as I have said, it is only one tool. I want to make sure that when we name and shame organisations, we understand what the detriment is and how much the detriment is. We need to make sure that, when we report these companies, we are reporting not just big names to grab a headline, but meaningful information that helps to advise and educate employers and, really importantly, educates workers so that they understand that, where there is a detriment, they can take action.

Paula Sherriff Portrait Paula Sherriff (Dewsbury) (Lab)
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With record numbers of people struggling with in-work poverty, this Government should be doing everything they can to reverse this shameful record. Instead, they are removing schemes that expose exploitative employers. Will the Minister think again and not only reinstate the national minimum wage naming scheme, but use the scheme to enforce the law? Will she also provide a date by which she intends to complete the review?

Kelly Tolhurst Portrait Kelly Tolhurst
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The hon. Lady knows that I have a great deal of respect for her, but she has not listened to what I have said. We have not dropped the naming and shaming scheme. I want a scheme that is valuable and meaningful, that aids compliance and enables workers to get their entitlement, and that makes sure that employers follow the law. I want to focus on enforcement, absolutely making sure that we penalise and reprimand any employer that is underpaying workers who are entitled to the minimum wage. Since the start of the scheme, we have seen 12 prosecutions. Last year alone, there were seven labour market enforcement undertakings and orders where the national minimum wage had been breached. I am committed to this scheme; this Government are committed to this scheme. We have a record number of people in work, and, this year, this Government have overseen the largest increase in the national minimum wage.