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National Minimum Wage clampdown

National Minimum Wage clampdown
Saturday, 09 January 2010 00:00

HM Revenue and Customs have set up a new team specifically charged with tackling the problem of employers who breach the rules on the national minimum wage (NMW).

HMRC's Dynamic Response Team have been targetted to investigate the high profile and complex NMW cases.In particular, businesses where employers use migrant labour and are paying employees less than the minimum wage in a deliberate attempt to undercut competitors.

The government has backed this initiative with £70m of funding and the team will comprise specialist HMRC officers.

Pat McFadden, the Business Minister, said: "The government and HMRC are doing more than ever to make sure that those entitled to the minimum wage are receiving it.

"Evasion hurts both workers and responsible employers who play by the rules, so we are stepping up our fight against non payment of the minimum wage."

Stephen Timms, the Financial Secretary to the Treasury, added: "The government's priority is to ensure that all workers are paid at least the national minimum wage.

"This new Dynamic Response Team will respond quickly and effectively to national minimum wage non-compliance, making sure that employees are paid what they are legally entitled to."

The NMW from 1 October 2009 is for those aged 22 £5.80; £4.83 for those aged 18-21; £3.57 for those aged 16-17.

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