National minimum wage enforcement in the social care sector has been suspended for another month to minimise disruption to the sector and ensure workers receive the wages they are owed.
The suspension is in relation to sleep-in shifts and follows July’s decision to waive all historic penalties where employers incorrectly paid workers a flat-rate for sleep-in shifts instead of hourly rates. This was in response to concerns over the combined impact that financial penalties and arrears of wages could have on the stability and long-term viability of providers.
The additional time will allow the government to establish how providers’ back pay bills will affect care provisions. This will also ensure that any intervention is proportionate and necessary.
During the suspension the government will develop a new enforcement scheme for the social care sector to encourage and support providers to identify back pay owed to their staff. It is hoped that this will minimise the impact of future minimum wage enforcement in the sector, while ensuring that workers receive the arrears they are owed.
Exceptional measures announced in July will remain in place until guidelines on this new approach are outlined next month.
