Care sector
abuse of minimum wage rules
CARE sector workers are in
line for nearly £340,000 in back pay as a result of investigations
by HM Revenue and Customs (HMRC). More than 2,400 workers in
the care sector were underpaid the National Minimum Wage (NMW) in
the last 2 years across the United Kingdom. Over the 2 year period, HMRC looked at jobs across the sector and investigated 224
employers. Some investigations are ongoing, but to date 88 cases
have been found to be non-compliant.
These investigations have identified nearly £340,000 in arrears for
over 2,400 workers and also over £110,000 in penalties to employers
for breaking the law.
Jo Swinson, Employment Relations Minister, said:- "Anyone
entitled to the National Minimum Wage should receive it. Paying
anything less than this is illegal and unacceptable. Government will
take tough action on employers who break the law, as we can see
through HMRC's investigation into the care sector. As well as
financial penalties, employers who don't play by the rules can be
publically named and shamed and may even be prosecuted.
If workers feel they aren't getting the minimum wage that they are
legally entitled to, then they should contact the free and
confidential Pay and Work Rights Helpline."
The results of targeted enforcement carried out by HMRC found that
the main reasons offered by care sector employers for not paying the
minimum wage included: making illegal deductions such as uniform
costs; not paying for time spent training or travelling between care
jobs; charges for living accommodation; incorrect hourly pay rates;
and incorrect use of apprentice rates.
HMRC's work is helping to better understand the reasons why some
employers break the law and what can be done to prevent this, such
as helping raise awareness of how NMW rules apply to the care
sector.
Richard Summersgill, Director for Local Compliance at HMRC, said:-
"Concerns had been raised about abuse of the rules in the care
sector and so HMRC decided to take a closer look to ensure that care
workers were getting a fair deal. We checked that employers were
operating the rules correctly and when we found the rules were not
being followed, we acted quickly.
Our investigations found that the reasons for not paying the legal
wage varied from unpaid working time spent training or travelling
between care appointments to making deductions from workers' pay
that brought their pay below the minimum wage. Most employers are
honest and pay their staff the correct rate, but this sends a clear
message to the care sector that paying the National Minimum Wage is
the law, and we will act when we find people not following the
rules."
HMRC's investigation highlighted some useful steps that employers
can take to make sure they are abiding by the law. These include
keeping full records of the precise hours, being aware that
deductions from workers pay can result in workers receiving less
than NMW rates, as well as being aware of the amount of the
accommodation offset and ensuring that this is factored into
workers' pay where accommodation is provided.
Anyone who believes they are not being paid the National Minimum
Wage can call the Pay and Work Rights Helpline, in confidence, for
advice in over 100 languages; on:- 0800 917 2368. |
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Get Ready to
shout House at Bingo Night in Formby
THE Formby Branch of The Royal British
Legion is going to hold a
Bingo session in the Oakleaf Hall, Whithouse Lane, Formby,
Merseyside, on Friday, 6 December 2013. Doors open at 7:15pm, eyes
down 8:00pm. 18's and over only. All proceeds in aid of the women's
section charities.
HUNDREDS OF
TROUBLED FAMILIES TURNED AROUND IN MERSEYSIDE
THE lives of 918 troubled
families in Merseyside have been turned around in the last 18
months, according to the latest government figures.
The statistics from the Department for Communities and Local
Government showed that halfway through the 3 year programme, a
total of 2,367 families are being worked with in the county.
Across England, the government is aiming to turn around the lives of
120,000 families, including 4,805 in Merseyside. The scheme has
resulted in children being back in school; levels of youth crime and
anti-social behaviour significantly reduced; and over 1,400 adults
from some of England's hardest-to-help households now in continuous
work.
Nationally, 62,000 families are being worked with and the lives of
over 22,000 have been turned around.
The statistics also showed that 92,000 families; 75% of the target
of 120,000; have now been identified by Councils as meeting the
criteria for the payment-by-results programme.
Progress is being made right across the country. Wandsworth is
working with 90% of its troubled families and Newcastle is
working with 80%, while Wakefield has already turned more
than half of its 930 troubled families around and Leicestershire
almost half of its 810.
Eric Pickles said:- "I am delighted that our programme is
already helping half of our target of 120,000 troubled families at
its midway stage. Councils are making great strides in a very short space of time,
dealing with families that have often had problems and created
serious issues in their communities for generations. These results
show that these problems can be dealt with through a no nonsense and
common sense approach, bringing down costs to the taxpayer at the
same time."
Head of the Troubled Families programme Louise Casey CB said:-
"This programme is getting to grips with families who for too long
have been have been allowed to be caught up in a cycle of despair.
These results show that a tough, intensive but supportive approach
has a big impact; giving hope and opportunity to the families and
respite to the communities around them."
Liverpool woman sentenced for
fraud A Liverpool
woman, who fraudulently claimed more than £68,000 in tax credits
over 6 years by not declaring that she was living with her partner,
has been sentenced.
Karen Burgess, 38, of Childwall claimed tax credits as an unemployed
single mum despite living with her partner and sharing household
finances. The fraud was uncovered after a joint investigation
involving surveillance by HM Revenue and Customs (HMRC) and the
Department for Work and Pensions, which started in 2010.
Sandra Smith, Assistant Director of Investigation for HMRC, said:-
"Burgess lied on numerous occasions to claim tax credits she
was not entitled to, pocketing money that is designed to help those
most in need.
We recognise it is only a minority that are exploiting the system
but would encourage anyone with information relating to tax credit
fraud to call the Benefits Anti-Fraud Helpline on:- 0800 854 440 in
total confidence."
Burgess, a mother of 4, claimed child tax credits while living with
her partner at an address in the Belle Vale area of Liverpool.
As a
condition of receiving these tax credits she was required to report
any changes in her circumstances to HMRC. However, she failed to
mention for 6 years that she was living with her partner who was in
full time employment as an airline pilot. |