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Doubling of penalties imposed for non-compliance with National Minimum Wage

The Government announced further measures to enforce the national minimum wage, including doubling the penalties imposed for non-compliance.

Any employer found guilty of not paying national minimum or national living wage could now face disqualification for up to 15 years from being a company director, will be heavily fined and be publicly “named and shamed” by HMRC.

“High street brands using agency staff are particularly at risk as the recent Channel 4 expos&eacute of Sports Direct showed. Although they may not employ the workers themselves, they are inevitably the target for the media when things go wrong” said Drey Francis, Director at Engage.

“With employers facing even harsher penalties and a potential PR nightmare for failing to pay minimum wage, we are recommending that major high street companies procure systems which centralise key administrative and compliance documentation, making them easily deliverable to HMRC, and avoid being put under the spotlight,” concludes Francis.

The Engage software provides a cloud-based software solution, which aims to unify the end-hirer, payroll supplier and temporary worker recruitment agency processes, giving complete visibility, ensuring legislation compliance, eliminating duplicated administration and reducing business costs.

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