Laura Sharman 25 March 2015

Councils call for power to tackle rogue employers

Councils should be given the power to tackle businesses who fail to pay workers the national minimum wage, according to a new report.

Newham Council, in partnership with GMB, has published a report estimating staff are losing £533m every year due to ?exploitative? businesses who flout the law.

Pay By The Rules shows that in the London borough alone, 17% of working residents were paid less than the minimum wage, costing the average worker £2,260 a year.

Mayor of Newham, Sir Robin Wales said: '?Local authorities have the interests of their residents at heart, and are best placed to identify rogue businesses. We'?re already aware of companies that flout licensing, planning, trading standards and waste rules and are able to take action.'

?With additional powers to tackle underpayment of NMW, councils could make a substantial difference to residents? lives. All we need is a government who are willing to act to improve the lives people nationwide.? The report has been backed by Labour who pledged to give local authorities more power to tackle rogue employers if they are voted into power.

Shadow business secretary, Chuka Umunna, said: '?Labour local authorities like Newham are leading the way in tackling low pay. Councils must be given the tools and powers they need to beef up local enforcement and make sure everyone at work gets paid what they are entitled to under the law.?'

SIGN UP
For your free daily news bulletin
Highways jobs

Caretaker

Durham County Council
£24,796 (Pro Rata)
Permanent Contract – Part Time - 32 Hours per week (6am – 9.15am 3pm – 5.45pm) Mon-Fri. Whole Time. Required to start 20th October 2026.   The Governo Consett
Recuriter: Durham County Council

Social Worker

Durham County Council
Grade 9 – Pre-Progression (£35,412-£39,152 per annum) / Grade 11 – Post Progression (£40,777-£45,091 per annum). Pay award pending.
We are seeking to recruit two temporary (six month) full-time (37 hours per week) Social Workers, to join our Adult Social Work Team at Derwentside Lo Durham
Recuriter: Durham County Council

Head of Finance - Children & Young People’s Service

Rotherham Metropolitan Borough Council
£75,585 - £80,726 (pay award pending)
This is a great place to work for people who want to make a real difference. Riverside House, Rotherham, South Yorkshire
Recuriter: Rotherham Metropolitan Borough Council

Head of Finance and Accountancy (Deputy S151 Officer)

Chesterfield Borough Council
£72,000 (inclusive of Market Supplement)
In this role, you will provide visible leadership and management across the Finance Service Chesterfield, Derbyshire
Recuriter: Chesterfield Borough Council

Director of Digital, HR & Customer Services

Chesterfield Borough Council
£97,017
Reporting directly to the Deputy Chief Executive, you will lead a diverse directorate, with responsibility for Human Resources Chesterfield, Derbyshire
Recuriter: Chesterfield Borough Council
Linkedin Banner