Coalition to introduce £20,000 per worker fines for employers who refuse to pay minimum wage
Andrew Grice has been Political Editor of The Independent since 1998. He was previously Political Editor of The Sunday Times, where he worked for 10 years, and he has been a Westminster-based journalist since 1982. His column, Inside Politics, appears in The Independent each Saturday.
Wednesday 15 January 2014
Employers who refuse to pay the national minimum wage will face fines of £20,000 for each underpaid worker.
Vince Cable, the Business Secretary, will announce today that, from next month, the maximum total fine for such rogue employers will rise from £5,000 to £20,000. He will promise to go further by bringing in legislation at the earliest opportunity to extend the maximum penalty to £20,000 for each worker.
The Liberal Democrat minister said: “Anyone entitled to the national minimum wage should receive it. Paying anything less than this is unacceptable, illegal and will be punished by law. So we are bringing in tougher financial penalties to crackdown on those who do not play by the rules. The message is clear - if you break the law, you will face action.”
Mr Cable promised to make it easier for rogue employers to be “named and shamed”. Although none has been named yet, government officials say there are cases in the pipeline. Only nine firms have been prosecuted since the minimum wage was introduced in 1998, but Mr Cable said the most serious cases would result in prosecutions.
Frances O’Grady, the TUC general secretary, said: “The plans announced to quadruple penalties for rogue bosses who cheat staff out of the minimum wage should make employers think twice before illegally underpaying their staff. It's great that the penalties have been raised and that it's easier to name and shame offending employers. It's crucial now that HM Revenue & Customs is given the resources they need to enforce these new rights properly.“
- 1 Russell Brand accuses FOX News anchor Sean Hannity of terrorism after aggressive Israel-Gaza debate
- 2 Pope Francis issues top 10 tips for happiness
- 3 Disney heiress Abigail disowns her share of family profits in West Bank company
- 4 The secret report that helps Israel hide facts
- 5 Now diplomacy has failed, boycotting Israel might be the only way we can protect the people of Gaza
Russell Brand accuses FOX News anchor Sean Hannity of terrorism after aggressive Israel-Gaza debate
Pope Francis issues top 10 tips for happiness
Justin Bieber posts Instagram photo of Orlando Bloom crying after Ibiza fight 'over Miranda Kerr'
Disney heiress Abigail disowns her share of family profits in West Bank company
Kelsey Grammer forgives the man who raped and murdered his sister in 1975
The secret report that helps Israel hide facts
Land for gas: Merkel and Putin discussed secret deal could end Ukraine crisis
Woman and two children killed by mob in riots over 'blasphemous' Facebook post in Pakistan
Richard Dawkins tweets: 'Date rape is bad, stranger rape is worse'
Putin is 'thuggish, dishonest and reckless', says British ambassador to US
Boozy, ignorant, intolerant, but very polite – Britain as others see us
- < Previous
- Next >
£400 - £550 per day: Orgtel: Financial Control Manager - Regulatory Reporting ...
£80000 - £90000 per annum + competitive: Progressive Recruitment: I am current...
£65000 per annum + 15% Pension, Health, Travel & Bonus: Progressive Recruitmen...
£55000 - £65000 per annum + Benefits: Progressive Recruitment: SAP BW/BO CONSU...