The Recruitment and Employment Confederation has approached the government to ask for support in setting up a scheme which would name and shame those responsible for running illegitimate travel and subsistence schemes.

The government have just announced the new National Minimum Wage rates. As part of this announcement they also set in motion plans to name and shame those who flout the minimum wage legislation. This scheme will give employers a maximum period of three months to “put their house in order” before being publically named and shamed. It is the belief of the REC that this practice should be extended to illegitimately run travel and subsistence schemes.

Recruitment and Confederation Industrial’s chair, Sally Hewick, commented: “Through travel and subsistence schemes, National Minimum Wage rates have a direct impact on our sector. In the current climate, a lawfully operated scheme is above all linked to the fair treatment of an already hard pressed workforce, rather than just the way we run our businesses.”

She continued: “Despite increased policing by the GLA and HMRC, we still continue to see cases where these schemes are not operated correctly. Publicity in the fight against employers who try to exploit their workers can be a very useful weapon.”
Ms Hewick concluded: “The Government’s plans to expose employers who don’t follow the rules, should be extended to travel and subsistence schemes if we want to ensure high standards and services valued for by our clients. We had called for facts and figures by the HMRC on providers examined and the levels of revenue collected through compliance before.”

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