Minimum Wage: Non-payment

(asked on 13th July 2020) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of trends in the number of prosecutions for non-payment of the national minimum wage by region (a) in total and (b) in each year since the financial year 2009-10.


Answered by
Paul Scully Portrait
Paul Scully
This question was answered on 16th July 2020

The Government is determined that everyone who is entitled to the National Minimum Wage (NMW) receives it. All businesses, irrespective of size or business sector, are responsible for paying the correct minimum wage to their staff. Our priority is to ensure that workers receive the money they are owed as quickly as possible. For this reason, in the vast majority of cases, HMRC pursue civil enforcement, which is the quickest way of ensuring workers receive their arrears.

Labour Market Enforcement Undertakings and Orders provide a further tool for cases that involve high levels of arrears per worker and/or NMW non-compliance over an extended period of time. These can result in a two-year custodial sentence and/or an unlimited fine.

HMRC investigates all complaints from workers; and if anyone thinks they are not receiving at least the minimum wage they can contact Acas, in confidence, on 0300 123 1100 or via the online complaints form using the link:

https://www.gov.uk/government/publications/pay-and-work-rights-complaints

HMRC will prosecute where it finds the most serious cases of non-compliance and since the financial year 2009-10 HMRC NMW investigations have led to 8 successful prosecutions of employers for NMW related offences.

Total prosecutions since the financial year 2009-10:

Number

Region

Date

1

Manchester

23/06/2010

2

London

26/02/2013

3

Birmingham

11/05/2016

4

Weymouth

13/05/2016

5

Oldham

04/08/2016

6

Southampton

08/12/2016

7

Birmingham

17/08/2017

8*

-

November 2019

Government compliance and enforcement 18/19 link:

https://www.gov.uk/government/publications/national-living-wage-and-national-minimum-wage-government-evidence-on-compliance-and-enforcement-2019

*The eighth case was successfully prosecuted in November 2019. As this case falls outside the 2018/19 reporting period, it will be detailed in next year’s (19/20) report.

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