Minimum wage orders

The Inland Revenue has the power to issue enforcement orders against employers not paying the National Minimum Wage (NMW). If the employer does not comply with the order the Inland Revenue can make a complaint to a tribunal. According to the EAT, while the enforcement order has to be made within three months of the last failure to pay the NMW, the complaint to the tribunal is not time barred. The EAT also held that while the Inland Revenue has the power to issue a penalty notice against employers not complying with an enforcement order. However, before doing so it should take account of the employer's ability to pay.

* Inland Revenue v Silk EAT/405/01