Professional December 2020 - January 2021

Employment law

...excuse of not being aware of NMW/ NLW requirements is not viable, especially with reminders being present almost everywhere.

Complaints, and Intelligence Analysis. As NMW dominates the strategy, ensuring NMW compliance has never been more essential. Although a review of the ‘naming and shaming’ scheme for non-compliant NMW employers was suggested in the 2018/19 strategy, during this period the scheme was placed on hold. The review has been conducted and the government has decided to resume the naming for non-compliance. Cases where arrears are more than £500 per employer will be published which will enable focus on more serious cases; however, repeat offenders will be subjected to the previous lower threshold of £100 per employer. When compared to the figures of 2015/16, the budget for NMW has more than doubled. Sir David’s recommendation of an increase to the budget for compliance and enforcement was accepted and increased to £27.4 million, which was beyond his actual recommendation. The government also accepted that the GLAA should undertake more unannounced visits across the sectors that have been identified as being non-compliant.

Improving awareness of workers’ rights It was recommended that the government and the enforcement bodies raise the awareness of workers’ rights. Both the government and the bodies understand the importance of this and accept there are opportunities for awareness to be increased. Measures have already been put in place to assist with this, one of which came into force in April 2020. From this date, it became a day-one right that all workers receive a written statement of particulars, and a key information document must be given to all agency workers who have registered with an agency. It is recognised that the majority of employers want to do the right thing and comply with the complexities of employment law. Although guidance is updated across all sectors regularly, we are aware it can be a challenge to

interpret. In the 2019/20 strategy, it was recommended that supplementary booklets should be produced to sit alongside published guidance. The government has advised that this recommendation will be partially accepted and that it will be publishing thematic guides on areas where breaches are most common. HMRC already deliver webinars to help with understanding complex topics surrounding employment rights and to aid employers to be compliant. NMW and NLW are continually advertised not just to employers but to employees, too. Campaigns around the time when rates are changed are frequent, with the use of various types of media platforms. The excuse of not being aware of NMW/NLW requirements is not viable, especially with reminders being present almost everywhere. n

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| Professional in Payroll, Pensions and Reward |

Issue 66 | December 2020 - January 2021

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