HMRC criticised for not enforcing internship pay May 2011
Posted date: 27 April 2011
The Low Pay Commission (LPC) has criticised HM Revenue & Customs (HMRC) for not effectively enforcing the payment of interns and minimum wage laws.
The LPC’s 2011 report, which also made recommendations for increases to the National Minimum Wage, explained that more awareness was needed of the rules surrounding internships. It suggested HMRC should take more responsibility for the wage allowances.
The report stated: “In addition, we recommend that these rules are effectively enforced by HMRC using its investigative powers.”
From 1 October 2011 interns who undertake placements which are considered to be work will be entitled to £2.60 per hour, a 10p increase on the current rate.
The comments from the LPC come after Nick Clegg announced in his report on social mobility that the Government will increase the number of internships to help people gain work experience.
Minister for Science and Universities David Willetts commented: “The lead the Government has shown in reforming civil service internships should be widely taken up across the private sector, ensuring Britain is using all the talent available.”
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