Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps his Department is taking to ensure that individuals who have been paid below the statutory minimum wage in circumstances involving mislabelled apprenticeships are compensated.
Employers are required by law to pay their apprentices the correct rate of the National Minimum Wage. An apprenticeship combines on the job learning and classroom-based learning. Employers cannot call a worker an apprentice if they are not genuinely an apprentice.
The existing enforcement mechanisms in place already protects workers and we are creating the Fair Work Agency to deliver a much-needed upgrade to enforcement of employment rights. The Fair Work Agency will provide better support to businesses on how to comply with the law and will take tough action against rogue employers who exploit their workers.
If a worker believes they are not being paid correctly, they can seek confidential advice. If HMRC finds an employer has underpaid their workers, the employer is required to pay back the full amount owed to the worker and a penalty to the government.