The National Minimum Wage and Living Wage

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Worker disputes over minimum wage

Workers who think their pay is below the correct minimum wage rate should talk to their employer first.

If this does not solve the problem, they can ask the employer in writing to see their payment records. The worker can take someone with them and make copies of the records.

If an employer owes the worker any arrears they have to pay these back.

Workers can call the confidential Acas helpline to help them solve a payment dispute.

Workers can also make a complaint to HM Revenue and Customs (HMRC) about their employer or employment agency or complain on behalf of someone else.

If the employer refuses payment

If HMRC find that the employer has not paid they will send them a notice for the arrears plus a fine for not paying the minimum wage.

HMRC can take them to court on behalf of the worker if the employer still refuses to pay.

Employment tribunal

Workers can also go directly to the employment tribunal themselves.

Workers who have been dismissed because of a minimum wage dispute can also complain to the employment tribunal for unfair dismissal.

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Part of Get your business ready to employ staff: step by step

  1. Step 1 Decide what type of employee you need

    1. Check whether you need full time or part time staff
    2. Check the different types of employment status

  2. and Check you can afford to take on employees

    1. Check how much the National Minimum Wage is
    2. Find out how much National Insurance you need to pay for your employees
    3. Check how much sick pay your employees are eligible for
    4. Check how much you need to pay towards your employee's pension
    5. Check how much Maternity Leave you need to pay your employees
    6. Check how much Paternity Leave you need to pay your employees

  3. Step 2 Make your workplace safe and accessible for employees

    1. Prevent discrimination
    2. Make your workplace accessible for employees with disabilities or health conditions
    3. Keep employee information and data safe
    4. Find out about fire safety
    5. Find out about health and safety on the Health and Safety Executive website

    You also need to make checks when you recruit and employ someone.

    1. Find out what you need to check when you employ someone

  4. Step 3 Register as an employer and set up PAYE

    You need to register with HMRC so you can pay tax and national insurance for your employees.

    1. Register as an employer and set up PAYE
    2. Choose how to run payroll
    3. If you decide to run payroll yourself, choose payroll software

  5. Step 4 Check your responsibilities around workplace pensions

    1. Understand your pension responsibilities as an employer

  6. Step 5 Get Employers' Liability insurance

    1. Find out about Employers' Liability insurance

  7. Step 6 Recruit and employ staff

    1. Employ someone