Public Servant Lifestyle

Excuses, excuses...ten 'reasons' UK employers have given for not paying the minimum wage.

The excuses used by employers who avoid paying the National Minimum Wage are laid bare as HM Revenue & Customs publishes a top 10 of some of the more unusual or outlandish reasons given to its enforcement teams.

The top ten worst excuses for not paying the minimum wage (in reverse order - just to maintain that element of suspense) are:

10. "I only took him on as a favour."
9. "The workers can't speak English."
8. "He's over 65, so the national minimum wage doesn't apply."
7. "She's on benefits - if you add those to her pay, it totals the National Minimum Wage."
6. "They can't cope on their own and it's more than they would get in their own country."
5. "He's disabled."
4. "I didn't think it applied to small employers."
3. "I didn't think the workers were worth National Minimum Wage."
2. "But she only wanted £3 an hour."
1. "He doesn't deserve it - he's a total waste of space."

Paymaster General, Dawn Primarolo, said: "By far the majority of employers are honest and scrupulous, so instances of non-payment are very much in the minority.

"But this list shows that there are still some rogue employers out there willing to flout the law, which is why our enforcement teams are hard at work across the UK to ensure that everyone is getting paid at least the National Minimum Wage.

"We are publishing this list of excuses today to remind employers and employees of their rights and responsibilities in relation to the National Minimum Wage."

HM Revenue & Customs has a network of 16 minimum wage enforcement teams around the UK, which respond to complaints about non-payment, help educate employers and employees and where necessary take enforcement action against those who fail to pay their employees what they are owed. In the last year the enforcement teams have identified nearly £3.3 million* in underpaid salaries, across the UK.

The National Minimum Wage - the facts:

The DTI has responsibility for National Minimum Wage policy, but HM Revenue & Customs enforce the policy

The main rate for workers aged 22 and over is currently set at £5.05 an hour. On 1 October 2006 this will increase to £5.35

The rate for 18-21 year olds is currently set at £4.25 an hour. This will increase to £4.45 on 1 October 2006

The rate for 16-17 years olds is £3.00 an hour. This will increase on 1 October 2006 to £3.30 an hour

Enforcement

HM Revenue & Customs has 16 minimum wage enforcement teams operating around the UK. Their job is to follow up complaints about non-payment of the minimum wage made to the helpline and to investigate employers at risk of not complying with the legislation. Enforcement officers also give presentations and talks to groups of employers to educate them about their obligations under the National Minimum Wage legislation.

*Arrears identified between August 2005 and July 2006.

More information available in Job Centre, Careers