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Jon Wilcox

Sift Media

Technology Correspondent, Sift Media

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HMRC launches new crusade against minimum wage violators

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A new Dynamic Response Team has been created, tasked with working on ‘high profile and complicated’ minimum wage cases.
 

Her Majesty’s Revenue & Customs has launched a new body, the Dynamic Response Team, with the aim of resolving the most high profile and complicated National Minimum Wage cases. One of the key priorities for the new team is to look at cases where employers are using migrant labour to undercut competitors by paying below the minimum wage.

Funded with a £70 million war-chest paid for by a tariff on migrant works, the Dynamic Response Team will “support those communities that are feeling the impact of migration most strongly.”

The Chartered Institute of Personnel and Development’s (CIPD) public policy adviser, Gerwyn Davies, spoke to HRzone about the move and commented: “The CIPD strongly welcomes any Government efforts to clamp down on employers who break the law by not paying the national minimum wage.”

“The HMRCs new Dynamic Response Team as well as being a responsive unit should hopefully send a strong message to any employers tempted to pay less than required even if employees, migrants or UK citizens agree to those terms. It is also encouraging that the approach to tackle abuses in the system enforces existing legislation as opposed to introducing a new strand of employment law.”

Business minister Pat McFadden 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.”

“The Minimum Wage is a key part of the Government’s strategy to establish fairness in the workplace and the benefits of the minimum wage are felt by about one million workers every year, especially women and part-time workers.”

Financial secretary to the Treasury, Stephen Timms, said: “The Government’s priority is to ensure that all workers are paid at least the National Minimum Wage, and HMRC enforce this robustly.”

“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.”

Communities Secretary John Denham said: "Tackling the abuse of migrant workers is an important part of building a fair society.  Employers undercutting the wages of local workers put unfair pressure on businesses struggling to compete and cause resentment in the community."

 

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Jon Wilcox

Technology Correspondent, Sift Media

Read more from Jon Wilcox
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