[UK] Cumbrian businesses could be named and shamed for minimum wage breaches

Hundreds of businesses in Cumbria could be named and shamed if they have failed to update their wage structures, Cumbria Crack reports.

The warning, from the Cumbria Chamber of Commerce, follows a Government announcement that checklists will be sent to employers to ensure they are paying the national minimum wage correctly.

HMRC says it is following the recommendations made in the autumn by the Low Pay Commission and issuing new rates of the National Living Wage and National Minimum Wage that came into force on April 1.

However, earlier this month a list of 191 businesses who have broken the law was released. The list included one Cumbrian employer who had been investigated for breaches before 2018 and now the chamber fears some employers could unwittingly be underpaying staff.

Managing director Suzanne Caldwell said, “The changes we’ve seen this year mark the first steps by the Government as it looks to meet its target of a National Living Wage set at two-thirds of median earnings by 2024, and we’re expecting current consultations to lead to a further rise next April.

“While it’s reasonable that the Government reviews these rates, given the difficult economic climate businesses have been enduring you have to question the timing and whether the changes should have been delayed until next year.

“But crucially employers need to ensure they’re aware of these changes and have implemented them where relevant.”

Earlier this month the Government confirmed that, following investigations, a total of £2.1 million has been discovered to be owed to over 34,000 workers from employers based across the UK, including football clubs, cricket clubs, large multi-national chains and small sole traders.

The breaches reportedly took place between 2011 and 2018 and a list of named employers have since been made to repay what they owed and received fined an additional £3.2 million.

Mrs Caldwell said the chamber was particularly concerned about the lack of significant highlighting or direction from the Government at a time when employers were navigating both Brexit and the global pandemic.

“It wouldn’t be a surprise if some have missed the wage changes,” she said. “But the last thing we want to see is a business having to stop trading due to being hit by a government fine after struggling through the challenges of COVID and Brexit.”

Source: Cumbria Crack

(Quotes via original reporting)

Hundreds of businesses in Cumbria could be named and shamed if they have failed to update their wage structures, Cumbria Crack reports.

The warning, from the Cumbria Chamber of Commerce, follows a Government announcement that checklists will be sent to employers to ensure they are paying the national minimum wage correctly.

HMRC says it is following the recommendations made in the autumn by the Low Pay Commission and issuing new rates of the National Living Wage and National Minimum Wage that came into force on April 1.

However, earlier this month a list of 191 businesses who have broken the law was released. The list included one Cumbrian employer who had been investigated for breaches before 2018 and now the chamber fears some employers could unwittingly be underpaying staff.

Managing director Suzanne Caldwell said, “The changes we’ve seen this year mark the first steps by the Government as it looks to meet its target of a National Living Wage set at two-thirds of median earnings by 2024, and we’re expecting current consultations to lead to a further rise next April.

“While it’s reasonable that the Government reviews these rates, given the difficult economic climate businesses have been enduring you have to question the timing and whether the changes should have been delayed until next year.

“But crucially employers need to ensure they’re aware of these changes and have implemented them where relevant.”

Earlier this month the Government confirmed that, following investigations, a total of £2.1 million has been discovered to be owed to over 34,000 workers from employers based across the UK, including football clubs, cricket clubs, large multi-national chains and small sole traders.

The breaches reportedly took place between 2011 and 2018 and a list of named employers have since been made to repay what they owed and received fined an additional £3.2 million.

Mrs Caldwell said the chamber was particularly concerned about the lack of significant highlighting or direction from the Government at a time when employers were navigating both Brexit and the global pandemic.

“It wouldn’t be a surprise if some have missed the wage changes,” she said. “But the last thing we want to see is a business having to stop trading due to being hit by a government fine after struggling through the challenges of COVID and Brexit.”

Source: Cumbria Crack

(Quotes via original reporting)