A new report published by the European Trade Union Confederation (ETUC) has found that current minimum wage rates fail to lift workers out of poverty in many European countries.
When the UK government policy was announced it was expected to deliver £9 per hour by the end of the decade. But low earnings growth means that on current trends the minimum wage will rise to just £8.40 by 2020. Instead, the TUC argues that the minimum wage should rise to £10 as quickly as possible.
The TUC is also concerned that younger workers are getting left further behind, since the full adult “national living wage” only applies to those aged 25 and above.
The TUC wants to see:
The Low Pay Commission go beyond the government’s target of 60% of median earnings and get the minimum wage rate to £10 as quickly as possible. Young workers (21-24 year olds) should be paid the full minimum rate (currently £7.50 an hour). The apprentice rate (£3.50 an hour) should be raised to the level of the young workers rate (£4.05 an hour). The apprentice rate should only apply to those undertaking intermediate level apprentices who are aged 16- 18 and to 19-20 year olds in the first year of their apprenticeship. Other apprentices should receive the standard rate for their age group.
Read more from the TUC .
National minimum wage: Amazon to overhaul treatment of drivers 14 November 2017
Amazon is ensuring that one of its main grocery delivery partners radically changes how it treats its workers after The Telegraph uncovered a punitive regime that left many drivers earning less than the minimum wage.
The investigation exposed a catalogue of penalties that SEP Logistics, which delivers Amazon’s Fresh and Prime Now goods across London, imposes on employees, including a £100 fine for ‘early’ deliveries. Drivers also face a series of charges including £25 if they make a delivery two minutes outside a window and a £25 ‘no-show’ fine. Workers are meant to receive £12-an-hour from SEP Logistics but must also cover their van rental of between £190 and £250 a week, weekly petrol costs of £30 and insurance for £330 a month. As a result of the excessive penalties SEP Logistics hands out, drivers were often earning less than the minimum wage. Related news? Is there a connection to the recently reported news that Amazon ‘Prime Now’ customers have vented their fury following the introduction of a £3.99 fee on same day deliveries? The new fee means shoppers using the ultra-fast Prime Now service are expected to pay £3.99 plus an optional £2 driver’s tip on all same day delivery orders under £40 (previously £20).
Tips do not count for National Minimum Wage purposes but there are still the tax and NICs implications to be considered.
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260 employers named for failing to pay minimum wage 8 December 2017
In the latest publication of employers named and shamed for underpaying minimum wage rates, Primark and Sports Direct are in the top five.
The Department for Business, Energy and Industrial Strategy (BEIS) has named 260 employers for failing to pay 16,000 workers at least minimum wage rates.
Number three on the list is Primark Stores Limited, who failed to pay £231,973.12 to 9735 workers. And number five on the list is SportsDirect.com Retail Limited, who failed to pay £167,036.24 to 383 workers.
The Chartered Institute of Payroll Professionals
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