The government has announced that it will waive historic financial penalties owed by social care employers that have underpaid their workers for overnight sleep-in shifts before 26 July 2017.
The move follows concerns about the combined impact of financial penalties and arrears of wages on the stability and long-term viability of social care providers. These ‘exceptional measures’ are designed to minimise disruption to the sector.
Despite waiving the penalties, the government stated that it “remains equally committed to making sure workers in this sector receive the minimum wage they are legally entitled to, including historic arrears”.
In addition to waiving the penalties, HMRC enforcement activity concerning payment of sleep-in shifts in the care sector has been suspended until 2 October 2017.
For more guidance on applying the National Minimum Wage to sleep-in shifts – where an individual is required to be at a workplace, even if they are asleep – see the guidance entitled: Calculating the National Minimum Wage.
