Service with a smile 21 February 2020 Tom Kemble of the Pass at South Lodge cooks up a pumpkin masterclass and shares why it’s important for chefs to meet their customers
In this week's issue...Service with a smile Tom Kemble of the Pass at South Lodge cooks up a pumpkin masterclass and shares why it’s important for chefs to meet their customers
Read More
Search
The Caterer

Paying less than national minimum wage will be penalised

16 May 2007 by
Paying less than national minimum wage will be penalised

Proposals on punishing hospitality employers that pay workers less than the national minimum wage are tougher than anticipated, lawyers have warned.

Under the proposed regime, opened for consultation by the Government today, employers which underpay their staff would be required to repay interest or other cash owed to workers in arrears.

If they refuse to pay the increased wage and make the required back payments, employers could face a fine of more than £200 and risk prosecution, leading to a criminal record and a £5,000 fine.

The stricter enforcement regime is designed to help the Government crackdown on employers who flout the minimum wage.

From 2005-06, the UK's official figures show that 25,314 workers were underpaid, a total arrears of £3.29m, this figure is up 14,053 from the previous year.

Martin Warren, head of employment at law firm Eversheds, said: "This is a tougher regime than expected and employers in the food and catering industries will be especially affected by the proposed changes.

"While most employers will be compliant with current legislation, we are advising them to review policies in the light of these new proposals."

"Food, leisure and catering businesses that persist in ignoring the legislation should be in no doubt that, if discovered, harsh penalties and fines will follow," he added.

Hospitality workers in London should be paid more than national minimum wage >>

Hospitality employers face £200 fine for not paying national minimum wage >>

National minimum wage set to increase in October >>

Undercover reporter exposes some hotel staff are paid less than minimum wage >>

By Daniel Thomas

E-mail your comments to Daniel Thomas](mailto:daniel.thomas@rbi.co.uk?subject=Paying less than national minimum wage will be penalised) here.

[The Caterer Blog](http://www.caterersearch.com/blogs/catering-news-blog/) Catch up with more news and gossip on the Caterer Blog here
[Newswire For the latest hospitality news, sign up for our e-mail news alerts.
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!