Above: Mark Lazarowicz with Jim Murphy, Employment Minister working on an Employment initiative in September 2006
Mark Lazarowicz, Labour MP for Edinburgh North & Leith has today launched a campaign to stop unscrupulous employers getting an unfair advantage by breaking minimum wage law.This follows the announcement today of new laws to crack down on employers who don’t pay the minimum wage. Mark will be writing to local trade unionists, business groups and key community groups, to urge them to report all cases of employers paying illegally low wages.
He will also be contacting organisations and groups working with migrant workers to make sure Edinburgh's large migrant worker community is also aware of the new rules.
Mark said,
“Nearly every business in Edinburgh does exactly what’s required by law – but I’m determined to make sure no one tries to make an unfair profit by trying to dodge the minimum wage. Over the years, I’ve had to help a number of local workers - both foreign workers and UK citizens - who weren’t getting the minimum wage, and these new rules will help deal with the small minority of employers who exploit their workers by not paying the minimum wage."
“Latest government figures today reveal that last year more than 25,000 workers were helped by the national minimum wage enforcement teams to get the wages they were due, but hadn’t been paid.”
“Migrant workers are often particularly vulnerable to being exploited by being paid below the minimum wage. That is bad news both for them and for UK citizens, who will lose out if they are undercut by employers paying foreign workers below the minimum wage."
“With the new powers announced today, employers that refuse to pay up can end up with a criminal record and a £5,000 fine. I am urging anyone in my constituency who is being paid below the national minimum wage, or knows somebody in that position, either to contact the National Minimum Wage helpline directly, or get in touch with my office so that I can get the complaint investigated".
From October 1st 2006, the National Minimum Wage rose to £5.35 per hour, benefiting over 1.3 million workers, including 140,000 in Scotland.
- The adult rate increased from £5.05 to £5.35 per hour
- The 18-21 year old rate increased from £4.25 to £4.45
- The 16-17 year old rate increased from £3.00 to £3.30
If a complaint against an employer is upheld and the employer will not pay then they are given a warning to repay the arrears within seven days. Those employers who do not pay within seven days risk a criminal record and a £5,000 fine. The minimum penalty an employer could face will be £224.70, for defaulting on an enforcement notice which named one worker.
10th January 2007 Back to Press Releases