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TUC: More help needed to catch 'minimum wage crooks'

The TUC says companies that underpaid minimum wage staff are "cheating low-paid workers" and called on the government to allocate greater resources to catch more "minimum wage crooks".

It is shocking that so many employers – including some who pay their star players millions of pounds a year – are cheating low-paid workers out of the minimum wage.

The penalties won by HMRC – which the government has rightly decided should be even bigger – should be a clear deterrent to any bad boss thinking about short changing their staff. We also need to see more of these immoral companies named and shamed.

HMRC staff deserve credit for winning back millions of pounds for cheated employees but they need greater resources to catch the many minimum wage crooks still out there.”

– TUC General Secretary Frances O'Grady

Failing to pay minimum wage is 'immoral and illegal'

Failing to pay staff the national minimum wage "is immoral and illegal" and employers caught deserve to "have their reputation ruined", the Trade Union Congress general secretary said.

It's great that minimum wage crooks are finally getting named and shamed.

Under-paying your lowest paid staff is immoral and illegal. Employers caught in the act deserve to be fined and have their reputation ruined.

This should send a clear message that dodging the minimum wage does not pay. All minimum wage cheats should be named and shamed, and HMRC need greater resources to catch even more crooks.

– Frances O'Grady, TUC general secretary

Read: Government 'name and shame' minimum wage dodgers

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Underpaying employers 'will face tough consequences'

Employers paying under the minimum wage "will face tough consequences", Business Minister Jenny Willot said.

Paying less than the minimum wage is not only wrong, it's illegal. If employers break the law they need to know that they will face tough consequences.

Any worker who is entitled to the minimum wage should receive it. If anyone suspects they are not being paid the wage they are legally entitled to they should call the Pay and Work Rights helpline on 0800 917 2368.

– Business Minister Jenny Willott

Employers paying under minimum wage named by govt

The Government has "named and shamed" employers who failed to pay their staff the national minimum wage as part of a new crackdown.

File photo dated of money. Credit: Gareth Fuller/PA Wire

A hire company, hotel, hairdressers and retail outlet were among the 25 employers named.

Between them, they owe workers more than £43,000 in arrears, and face fines totalling over £21,000.

It is the biggest number of employers publicly named since a new regime was announced last year.

The Government also plans to increase fines, so that an employer underpaying 10 workers could face penalties of up to £200,000.

Ex-Lloyds boss hails 'very positive' minimum wage rise

Former Lloyds TSB boss Sir Victor Blank told ITV News the 19p increase to the minimum wage is a "small step but very positive."

He said: "[It's] terrific that it's gone up and so it should. One of the biggest problems I think we have is the growing division between the levels of pay of senior executives and the average level of pay.

"If you look at the figures over the last 15 years, they've just grown apart massively and I think it's quite worrisome and I think it's quite wrong."

Read: Minimum wage will rise to £6.50 per hour from October

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Minimum wage will rise to £6.50 per hour from October

The minimum wage will rise by 19p to £6.50 per hour from 1 October 2014, the government has announced.

The minimum wage will rise from 1 October 2014. Credit: Dominic Lipinski/PA Wire

Business Secretary Vince Cable said: “The recommendations I have accepted today mean that low-paid workers will enjoy the biggest cash increase in their take home pay since 2008.

"This will benefit over one million workers on national minimum wage and marks the start of a welcome new phase in minimum wage policy."

The minimum wage for those aged between 18-20 years old will increase to £5.13 per hour, while those aged either 16 or 17 will receive £3.79.

Labour criticise Osborne minimum wage plans

Shadow business secretary Chuka Umunna Credit: Stefan Rousseau/PA Wire

Shadow business secretary Chuka Umunna has criticised government minimum wage proposals, dismissing them as "empty rhetoric".

Mr Umunna said: "This announcement exposes the comments George Osborne made just weeks ago about a £7 minimum wage as misleading and empty rhetoric.

"Labour said last year that we need to see above-inflation rises in the minimum wage to restore the value lost over recent years. That's why we welcome the Low Pay Commission's announcement and have committed to strengthening the minimum wage so that its value is properly restored."

O'Grady hopes wage rise 'not pre-election boost'

File photo dated 9/9/2012 of TUC General Secretary Frances O'Grady Credit: Ben Birchall/PA Wire

Union leader Frances O'Grady has welcomed the Low Pay Commission's proposals to increase the minimum wage but expressed hopes it is not a pre-election stunt.

TUC General Secretary O'Grady said: "This is a welcome increase in the minimum wage, which starts to recover some of the ground it has lost since 2008.

"We hope this is the first in a series of bolder increases that will give real help to the low paid, and not just a pre-election boost."

The Low Pay Commission has recommended a 3% rise in the minimum wage to £6.50 from October.

Treasury analysis has suggested that increasing the National Minimum Wage to £7 by 2015-16 would only have a minor impact on unemployment.

Wage increase 'in line with Chancellor's position'

A general view of notes and coins Credit: Rui Vieira/PA Wire

The Prime Minister's official spokesman has said that the 3% minimum wage increase to £6.50 from October is in line with the Chancellor's position from last month.

"Three per cent would represent a real-terms increase and I believe that the LPC has signalled that this could be part of a process by which the value is restored to what it was before the great recession.

"That is entirely in line with the position the Chancellor was setting out earlier in the year."

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