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Thursday 07 April 2022 12:02 am  |  Updated:  Wednesday 06 April 2022 2:45 pm

Union calls to ‘beef up’ minimum wage enforcement powers in wake of P&O scandal

By: Ilaria Grasso Macola

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P&O Ferries In The Port of Dover
TUC called to "beef up" minimum wage enforcement powers in the wake of the P&O scandal. (Photo by Dan Kitwood/Getty Images)

Plans to make companies pay workers minimum wage will be “unworkable” if enforcement powers are not beefed up, said union TUC today following the P&O scandal.

“A lack of enforcement will kick the legs out from under the Government’s minimum wage plans,” said TUC’s general secretary Frances O’Grady.

“Our weak enforcement regime lets rogue employers like P&O ride roughshod over fundamental workers’ rights.”

O’Grady explained that while Maritime and Coastguard Agency’s personnel can board ships for inspection and ground them if they are not complaining with seafarers’ rights, HRMC inspectors can’t legally go aboard and therefore enforce crews are paid minimum wage.

“Ministers must properly fund and empower enforcement bodies so they can recruit and train additional qualified inspectors and inspect more workplaces. That’s how you stop bad bosses from getting away with flagrant labour rights abuses,” she added.

“They should force ferry operators to sign an agreement with unions to ensure pay is well above the minimum wage.”

The general secretary’s comments follows those made last week after transport secretary Grant Shapps unveiled a set of measures to make P&O rethink its decision to fire 800 members of staff.

Shapps introduced a set of measures such as the creation of “minimum wage corridors” between the UK and neighbouring countries and asked ports yo deny access to those who do not pay minimum wage, CityAM reported.

“We are sending a clear message to everyone that if you want to operate in the UK then you have to conduct yourself just like any other boardroom,” he tweeted on 30 March.

Despite government reassurances, many – TUC included – believe the plan presents too many legal challenges to be implemented.

According to Nautilus’s general secretary Mark Dickinson the proposal “could take many months if not years to deliver” while union TUC’s Frances O’Grady said workers need for the government to “finally deliver the long-promised Employment Bill to boost worker protections.”

Read more

The Debate: Is Britain’s minimum wage too high?

Hospitality workers gathered at a restaurant discussing minimum wage policy changes, highlighting industry challenges.

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