Legislation
introduced to ensure former workers are paid the minimum wage is likely to
become law in the first half of next year.
The
law change follows an Employment Appeals Tribunal ruling in August 2002. This
ruled that officers enforcing the minimum wage – and the agricultural minimum
wage – were not entitled to issue enforcement notices for past pay periods
alone.
This
meant that former workers could not be compensated for levels of pay below the
minimum wage.
The
Government said the new law will ensure both current and former workers are
paid the minimum wage by allowing people to make retrospective claims.
The
National Minimum Wage (Enforcement Notices) Bill amends the parent legislation
(the National Minimum Wage Act 1998) to ensure officers can issue enforcement
notices to require the payment of minimum wage arrears to former workers as
well as current workers.
The
Bill is expected to be passed as early as Spring next year.
Sign up to our weekly round-up of HR news and guidance
Receive the Personnel Today Direct e-newsletter every Wednesday
