The DTI has announced a new consultation about the national minimum wage (NMW) and the Employment Agency standards Inspectorate, focussing on measures to promote compliance and improve fairness both for workers and compliant businesses.

They are proposing strategy to deal with cases of underpayment of the NMW, based on new way of dealing with arrears, and a simpler, more effective penalty regime to deter non compliance.

They are also consulting on strengthening the penalties regime for offences committed against employment agency legislation and clearer investigative powers of the Employment agency Standards Inspectorate.

Welcoming new Government proposals TUC General Secretary Brendan Barber said:

”It is vital that the safety net provided by the minimum wage is strong enough to project all vulnerable workers. It is good to see that the Government is taking its responsibilities to these workers seriously. Ministers must continue the crackdown until there is no hiding place left for bad bosses paying illegal, poverty wages.”

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