‘Naming and shaming’ employers who defy the minimum wage is welcome but not enough

 Vidhya Alakeson, Deputy Chief Executive of the Resolution Foundation, said:

“Ministers deserve credit for highlighting the scandalous treatment of low-paid workers who are deprived of their entitlement to the minimum wage. More ‘naming and shaming’ of employers who defy the minimum wage is welcome but this only takes a small bite out of a big problem. So far only one employer has been publicly named for non-payment of the minimum wage. The reality is that minimum wage enforcement remains inadequate – it has long been under-resourced and needs both better funding and reform of the system.

It is complex, time-consuming and expensive for workers to bring a case against their employer, and even if a firm is found guilty the maximum fine is £5,000 – one tenth of the maximum fine for fly-tipping. Rather than just relying on ‘naming and shaming’ the culprits we need to see proper enforcement of the law and prosecutions of anyone who is found to be breaching the minimum wage regulations. The minimum wage is a right, not a privilege for workers and employers who respect the minimum wage deserve a level-playing field.”

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