NATIONAL MINIMUM WAGE ENFORCEMENT
Following the toughening of the rules relating to the enforcement of the National Minimum Wage Regulations in October 2013, the government has published a list naming and shaming employers that have failed to pay their staff the National Minimum Wage.
The majority of the employers listed are SMEs and the amounts that were unpaid ranged between £134.35 and £7,310.65.
In addition to having to pay the outstanding amounts to the employees and being publically named and shamed, the employers are also required to pay financial penalties to HMRC. The penalty is currently up to £20,000 for each organisation, however the government has recently announced that it has plans to amend the penalty to £20,000 for each individual worker that has been underpaid. These financial penalties apply regardless of the amounts unpaid.
It is therefore more important than ever to ensure that you are paying your employees at least the National Minimum Wage:
Age/Work | Current (per hour) | 1 October 2014 (per hour) |
Apprentices* | £2.68 | £2.73 |
16 - 17 | £3.72 | £3.79 |
18 - 20 | £5.03 | £5.13 |
21 and Over | £6.31 | £6.50 |
*If an apprentice is under 19 or in the first year of apprenticeship, otherwise, the relevant age band applies.
To find out more information, please contact a member of the team.
Best Wishes,
The Employment Team
Gabb and Co