To ask the Secretary of State for Business, Energy and Industrial Strategy, pursuant
to the Answer of 11 June 2019 to Question 261273, what the outcomes of the HMRC investigations
that were completed but did not result in employers being found non-compliant were.
<p>HMRC may open an investigation into an employer’s compliance with National Minimum
Wage law either following a worker complaint or via proactive risk-based enforcement
activity. Where HMRC find no minimum wage arrears are due, they will not take enforcement
action such as issuing a Notice of Underpayment and financial penalty.</p><p> </p><p>Where
HMRC find that arrears are due to workers they will generally issue a Notice of Underpayment
and financial penalty. In some cases, employers may be allowed to carry out self-correction
action which ensures that workers are paid the money due to them without the issue
of a Notice of Underpayment. Overall, in 2018/19 HMRC found arrears in 45% of cases
they closed; this “strike rate” has increased year-on year since the introduction
of the National Living Wage in 2016.</p><p> </p><p>This information will be covered
in more detail in BEIS’ Minimum Wage Enforcement and Compliance report, which we will
publish in due course.</p>
To ask the Secretary of State for Business, Energy and Industrial Strategy, pursuant
to the Answer of 12 June to Question 260712, whether his Department has begun drafting
the proposals for consultation on a single labour market enforcement body; how many
civil servants will be allocated to work on those proposals; and whether the consultation
will open before 22 July 2019.
<p>Government is committed to improving state enforcement of employment rights as
part of the Good Work Plan. Work to develop proposals on the establishment of a single
labour market enforcement body is underway and we will publish a consultation in due
course.</p><p> </p><p>These proposals are being developed by a number of civil servants,
including policy experts, analysts and lawyers in the Department and I will continue
to ensure that this work is adequately resourced as the project progresses. Given
that this work touches on a wide range of policy areas, we have also received input
and support from civil servants across Whitehall and from the existing enforcement
bodies.</p>
To ask the Secretary of State for Business, Energy and Industrial Strategy, pursuant
to the oral answer of the Minister for Small Business, Consumers and Corporate Responsibility
on 4 June 2019, Official Report, column 53, what the evidential basis is for her statement
that in 2019, £118 million has been paid back to more than 220,000 workers who were
underpaid the minimum wage.
<p>We are committed to taking robust enforcement action to ensure that everyone who
is entitled to the National Minimum or Living Wage receives it.</p><p> </p><p>We have
more than doubled the budget for minimum wage compliance and enforcement since 2015;
it is now at a record high of £27.4 million.</p><p> </p><p>To clarify, since 1999,
minimum wage arrears worth over £118 million have been paid to 835,000 workers. In
the year 2018/19 alone, £24.4m of wage arrears were identified, owed to more than
220,000 workers.</p><p> </p><p>The transcript error within the Official Report has
now been corrected.</p>