Employers urged to comply with the National Living Wage – or face a hefty fine

March 29, 2016
By

Independent Swindon recruitment firm Field is warning employers to ensure they comply with the new living wage which comes into force today – or they could fall foul of hefty penalties for non-compliance.

Workers aged 25 and over will be entitled to the National Living Wage from April 1. At £7.20, it is a 50p increase on the current National Minimum Wage of £6.70.

The Government has already announced it will be tough on employers who flout the law. It has doubled the penalties for non-payment from the level of the National Minimum Wage; increased the enforcement budget; set up a new team in HMRC to take criminal prosecutions against those deliberately not complying; and has threatened to disqualify company director found guilty of flouting the law.

Field Recruitment operations manager Emma Ryder, pictured, said the new living wage was a welcome move, and the company was ensuring all candidates placed in roles would be paid at least the minimum. 

“The new national living wage is the least that workers aged 25 and over can expect and we are working hard with all our clients to ensure that candidates are paid at this rate or above,” she said.

Employers who fail to pay staff at least the minimum wage face a penalty of 200% of the arrears. This is halved if paid within 14 days. The overall maximum penalty of £20,000 per worker remains unchanged.

Minimum wage rates for people aged under 25 remain the same: £6.70 for 21 to 24 year olds, £5.30 for 18 to 20 year olds, £3.87 for under 18s and £3.30 for apprentices.

Field Recruitment, based in Commercial Road, has been supplying permanent, temporary and contract staff since 1974.

 

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