Fines for minimum wage non-payers

Employers already have to pay back arrears they owe to the worker and now, those who refuse to pay up will be penalised. Darling says: “Workers have the right to a decent minimum wage and we are determined they get it. To those employers avoiding the minimum wage the message is don’t pay it and you’ll pay the fine. In the last year alone the government’s enforcement teams across the UK helped over 25,000 workers get more than £3m back in unpaid wages. “The vast majority of good employers need to know they are operating on a level playing field. These measures will help deliver that.” In cases where workers complain they are not getting the minimum wage, Her Majesty's Revenue and Customs (HMRC) investigate the employer. If the complaint is upheld and the employer will not pay then he is given a warning to repay the arrears within seven days. Those employers who do not pay within seven days risk a fine. Commenting on the announcement, the CBI’s director of HR policy, Susan Anderson says: “Firms who pay staff less than the minimum wage are not just acting unlawfully, they are undermining the vast majority of law-abiding employers. It is therefore right that those firms who have been given ample opportunity to pay their arrears and fail to do so should be penalised, and the CBI fully supports the Government’s resolve to issue penalty notices to firms that fail to comply with enforcement notices.”