National minimum wage update
By Kevin McCavish
There have been a number of important developments recently with regard to the national minimum wage (NMW). As a result, employers would be well advised to review their pay rates to ensure all applicable workers are receiving at least the NMW.
An employer who is found to be paying its workers less than the NMW is issued with a notice of underpayment by HMRC and made to pay a penalty. For any pay reference period beginning on or after 7 March 2014, the maximum penalty has increased from £5,000 to £20,000 and the penalty percentage has increased from 50 per cent to 100 per cent of the underpayment (being the difference between the remuneration received by the worker and the NMW rate(s) that applied at the time they were underpaid). Where the amount of the penalty is less than £100, a minimum penalty of £100 will apply.
Where an employer’s underpayment falls before and after 7 March 2014, it will receive separate notices of underpayment for each period calculated using the relevant financial penalties for those respective periods…
Click on the link below to read the rest of the Shoosmiths briefing.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.
News from Shoosmiths
News from The Lawyer
Briefings from Shoosmiths
A $100m US settlement may be of only passing interest to the UK auto industry, but parallels can be drawn with increasing levels of regulation in Europe.
The importance of companies being able to freely advertise their fees or discounts has again been highlighted by the Competition and Markets Authority (CMA).
Analysis from The Lawyer
Compliance and corporate governance codes for large financial institutions will undoubtedly include provisions to regulate high pay in the future
There’s more to the ABS model than attracting the man in the street and procuring external investment. Partners at the big corporate firms, take note…