UNISON has today (Monday 9 February) welcomed a commitment from the Department of Health and the Department for Business, Industry and Skills to investigate six of the biggest social care providers as part of a minimum wage crackdown.
But the union is reminding the government of the extent of the true scale of the problem, with around 2,500 companies currently delivering homecare in the UK on behalf of local councils. The issue has taken on greater urgency with today’s report by the Resolution Foundation showing that care workers are collectively paid £130m a year below the National Minimum Wage.
The announcement follows a long-running UNISON campaign to force the Government to instruct HM Revenues and Customs (HMRC) to pursue care providers who pay illegal wages.
UNISON head of local government Heather Wakefield said:
“There are 2,500 home care providers across the country and unlawful wages are endemic. Given the scale of this scandal we need a commitment from the government for a thorough and prolonged focus on unlawful payment in the sector. The largest providers that help determine the market rates in their area must be investigated as a priority.
“Low pay is not just bad for care workers but it also has a direct impact on the quality of care that elderly and disabled people receive.
“We will work closely with the government to stamp out the widespread practice of paying illegal wages. We won’t stop with our campaign against scrooge employers until every care worker is receiving at least the minimum wage.”
According to the National Audit Office, 220,000 care workers in the UK are paid less than the national minimum wage. Failure to pay for travel time between the homes of clients, and deductions for uniforms, mobile phones and petrol, all combine to drive down pay in the sector, which suffers from a 30 per cent turnover of staff, one of the highest in the whole economy.
UNISON’s campaign has attracted cross party support from MPs, including from Care Minister Norman Lamb. More than 13,000 people have so far signed the union’s online petition, which calls on the Government to act to end the practice of unlawful pay for care workers.
A Freedom of Information request by UNISON last year revealed that just seven per cent of councils insisted that their providers paid for time spent travelling between clients’ homes.
ends
