Managers who evade minimum wage ‘to be targeted’

A new team has been put together by the Department for Business, Innovation and Skills in an effort to crack down on employers who refuse to pay their workforce in line with the National Minimum Wage.

HM Revenue and Customs’ new Dynamic Response Team is set to work on any high profile cases where such an evasion is believed to have taken place and hopes to cut down on issues such as the use of migrant workers paid below the minimum wage to “undercut” competitors.

Using financing from a government fund, the team will also be offering its support to communities where migration is causing an impact, the department revealed.

Business minister Pat McFadden said: “Evasion hurts both workers and responsible employers who play by the rules, so we are stepping up our fight against non-payment of the minimum wage.”

The minister added the minimum wage is a key part of the government’s strategy to ensure fairness in the workplace.

Meanwhile, the Confederation of British Industry has claimed many UK businesses are likely to continue with pay freezes in the new year as the recession rumbles on.