National Minimum Wage
October 2007 uprating
National Minimum Wage (NMW) rates and the accommodation offset rate will increase for pay reference periods starting on or after 1 October 2007
Targeted Enforcement
Our programme of targeted enforcement, which is now in its third year, was introduced to work with employers and workers to address issues and concerns around the NMW and to produce guidance in order to assist employers in meeting their obligations.
For the third programme we are working with representatives of the hotel sector, where a high number of migrant workers are employed. This programme will run for twelve months with targeted enforcement beginning in November 2007. We will build on this work by targeting the hospitality sector more generally throughout 2008-09.
As the employer, failure to meet your obligations under the National Minimum Wage Act constitutes a criminal offence and could result in a heavy fine.
It is a criminal offence to:
- refuse or wilfully neglect to pay NMW
- fail to keep or preserve records, cause or allow false entries in records
- produce or furnish false records or information
- delay or obstruct an HMRC compliance officer
- refuse or neglect to answer any questions or produce documents for an HMRC compliance officer.
If you need any help or advice about the National Minimum Wage you can visit our website or call our Helpline on 0845 6 000 678. In Northern Ireland call 0845 6 500 207.
Landmark National Minimum Wage case heard
On the 28 August 2007, a children's nursery owner was fined £2,500
and ordered to pay £500 costs in the first National Minimum Wage criminal
prosecution case.
The owner of the day nursery in Walthamstow, pleaded guilty to a charge
of obstruction at Waltham Forest Magistrates' Court. She had prevented compliance
officers from looking at employee records to find out whether nursery workers
were being paid the correct amount under the National Minimum Wage.
Judge Gott commented that the owner had "demonstrated a clear and
deliberate intent to obstruct officers and this was a scandalous breach
of the National Minimum Wage legislation."
Andy Millican, the Criminal Investigations team leader said: "This
prosecution sends a clear message to employers that we will actively pursue
those we suspect of flouting National Minimum Wage law.” He added.
"We have a duty to ensure workers receive their salary entitlement.
If employers obstruct us and refuse to comply with the law they could receive
a fine and a criminal record."
