The Department of Trade and Industry, the government department responsible for the national minimum wage, has published figures showing the results of compliance visits on employers by HMRC enforcement teams.

In the seven months between April and October 2005, 2,409 cases were investigated and more than £;1.7 million was recovered for over 12,000 workers.

The following are some of the cases investigated:

• In Cambridge, the enforcement team found that workers for a leading shopping organisation were not paid but were allowed to keep goods in lieu of payment. As benefits in kind cannot count as payment for minimum wage purposes, the employer has made arrears payments of £;60,034 to 2,050 workers.
  
  
• In Portsmouth, five complaints against a large international haulage company were investigated. The investigation involved extracting driving and preparation times from tachograph readings, establishing average times and collating drivers' own records. This resulted in calculating arrears schedules for 212 drivers over a period of three years. Arrears of £;92,700 were due to 126 drivers.
  
  
• In Exeter, the enforcement team concluded an enquiry concerning resident workers in a hotel. The workers were being charged more than they should have been for their accommodation. Although the amount due to each individual was modest, the number of workers paid arrears was considerable. Total arrears of £;21,538 were shared between 288 individuals.
  
  
• The Leicester enforcement team found that an international retail company was not paying its workers for additional time spent tidying the store in preparation for the following days trading. Arrears totalling £;40,520 were paid to 1,965 workers.

During 2005, the hairdressing sector was targeted in particular. Another, as yet unidentified, sector will be selected for visits during 2006.

...back to 29 December 2005


Sources:
Minimum Wage Enforcement Brings Festive Cheer to Low Paid Workers

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The Scottish Agricultural Wages Board has confirmed that there will be a wage increase of at least four per cent for agricultural workers in Scotland from January 1, 2006.

Details of the award are:

• for adult workers in the first 10 weeks of employment a rate of not less than £;5.05 per hour
  
  
• for adult workers employed for more than 10 weeks with the same employer a rate of not less than £;5.46 per hour
  
  
• equivalent increases will be made in all other rates including the Dog Allowance, which will be increased to £;4.15 per week for each of up to four dogs
  
  
• the additional sum payable to workers with appropriate qualifications will be £;0.82 per hour.

As announced in August,

• the rate for workers aged 18 years in their first 10 weeks was increased to £;4.25, and
  
  
• the rate for workers aged 19 in their first 10 weeks was increased to £;5.05

from 1 October to match the national minimum wage rates which increased from that date.

...back to 27 October 2005


Sources:
Wage increase for agricultural workers

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