Question
To ask Her Majesty’s Government, further to the Written Answer by Baroness Neville-Rolfe on 26 October (HL2092), how many cases relating to failure to pay the minimum wage have been considered for criminal investigation; and how many have led to prosecutions.
Answered on
5 January 2017
The Government is determined that everyone who is entitled to the National Minimum Wage (NMW) and the National Living Wage (NLW) receives it. Anyone who believes they have been underpaid NMW or NLW should contact the Advisory, Conciliation and Arbitration Service (Acas) helpline on 0300 123 1100. HMRC reviews all complaints referred.
There have been 13 successful prosecutions for NMW offences since 2007, with 4 of these in the 2016 calendar year. However, prosecutions are not necessarily the best approach in most cases. Criminal sanctions against companies mean that workers – the ultimate beneficiaries of enforcing the NMW and NLW – end up waiting longer for their lost earnings to be paid back.