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\dghorigin1701\dgvorigin1984\dghshow1\dgvshow1\jexpand\viewkind4\viewscale100\pgbrdrhead\pgbrdrfoot\splytwnine\ftnlytwnine\htmautsp\nolnhtadjtbl\useltbaln\alntblind\lytcalctblwd\lyttblrtgr\lnbrkrule\nobrkwrptbl\snaptogridincell\allowfieldendsel\wrppunct \asianbrkrule\rsidroot15674107\newtblstyruls\nogrowautofit \fet0\sectd \linex0\headery709\footery709\colsx708\endnhere\sectlinegrid360\sectdefaultcl\sectrsid11338404\sftnbj {\*\pnseclvl1\pnucrm\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl2 \pnucltr\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl3\pndec\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl4\pnlcltr\pnstart1\pnindent720\pnhang {\pntxta )}}{\*\pnseclvl5\pndec\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl6 \pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl7\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl8\pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl9\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}\pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\lang2057\langfe1033\langnp2057\insrsid15674107 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid12589517 {\b\f1\lang2057\langfe1033\langnp2057\insrsid12589517 National Group on Homeworking - }{ \b\f1\lang2057\langfe1033\langnp2057\insrsid12589517\charrsid12589517 Evidence to Low Pay Commission}{\b\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid12589517 \par }{\b\f1\fs28\lang2057\langfe1033\langnp2057\insrsid12589517\charrsid12589517 CONSULTATION ON THE NATIONAL MINIMUM WAGE \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 {\f1\lang2057\langfe1033\langnp2057\insrsid12589517\charrsid12589517 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\b\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 Introduction \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid12589517 Wh}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 ilst we are not able to provide conclusive }{\f1\lang2057\langfe1033\langnp2057\insrsid12589517 statistics on the number of homeworkers who are not earning the NMW, we can confirm it continues to be an issue amongst }{\f1\lang2057\langfe1033\langnp2057\insrsid3688769 those who contact us}{\f1\lang2057\langfe1033\langnp2057\insrsid12589517 . NGH has supported a number of homeworkers in their attempts to access the NMW in the last year, and we have come across two particular problems with the enforcement process. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid11945564 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564\charrsid12589517 1) }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564 The}{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564\charrsid12589517 way previous investiga tions by the Compliance Unit are impacting upon worker\rquote s attempts to access the minimum wage. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid11945564 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564\charrsid4609800 2) The continuing lack of clarity on status is an impediment to accessing the NMW}{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid11945564 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 Details of these two problems are outlined below, followed by our recommendati ons for improving the enforcement of NMW amongst homeworkers. At the end of this document is a summary of background information gathered on homeworking though our national advice line.}{\f1\lang2057\langfe1033\langnp2057\insrsid12589517 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid12589517\charrsid12589517 1) }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564 PREVIOUS INVESTIGATIONS AS AN IMPEDIMENT TO WORKERS ASSERTING THEIR RIGHTS}{ \b\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid12589517 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid12589517 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid12589517 Case abandoned \par }\pard \qj \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \aspalpha\aspnum\faauto\adjustright\rin0\lin0\rtlgutter\itap0\pararsid1779691 { \b\f1\insrsid15272715\charrsid15272715 A homeworker from Vale of Glamorgan}{\f1\insrsid15272715\charrsid15272715 did packing and assembly work for a local company. After leaving he discovered that he should have been paid the national minimum wage. He complained to the Compliance Unit who took on his case and issued an enforcement notice. The homeworker was told by the Compliance Officer that \lquote he was 99% certain to get his back pay.\rquote After the company appealed the enforcement notice the C}{\f1\insrsid15272715 ompliance Unit dropped the case, without explaining why.}{\f1\insrsid15272715\charrsid15272715 \par Although we cannot be sure of the reason, we believe it was because there was a previous investigation of the company by the Compliance Unit and the company was found to be compliant. }{\f1\insrsid15272715 The}{\f1\insrsid15272715\charrsid15272715 homeworker, although working there at the time was not contacted or involved in the }{\f1\insrsid9114672 original }{\f1\insrsid15272715\charrsid15272715 investigation. }{\f1\insrsid10361029 Presumably, if}{\f1\insrsid15272715\charrsid15272715 }{ \f1\insrsid9114672 his}{\f1\insrsid15272715\charrsid15272715 case had gone to tribunal the Compliance Unit would have had to discredit their own}{\f1\insrsid6096310 earlier}{\f1\insrsid15272715\charrsid15272715 investigation. \par The homeworker is currently attempting to pursue a claim through the County Court. \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid15272715 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid15272715\charrsid12589517 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid12589517 Evidence in favour of the Respondent \par }\pard \qj \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \aspalpha\aspnum\faauto\adjustright\rin0\lin0\rtlgutter\itap0\pararsid1779691 {\b\f1\insrsid201157\charrsid201157 A homeworker from the Vale of Glamorgan}{\f1\insrsid201157\charrsid201157 delivered parcels for a company. She earned about half the level of the NMW. Although she was not registered as a company, was paid a piece rate by the company she worked for, received supervision, used the stationary of the company she worked for and }{\f1\insrsid6096310 was classed as a \lquote permanent cou}{\f1\insrsid201157\charrsid201157 rier\rquote a Compliance Officer decided that she was not a worker and therefore not entitled to the NMW. She took a case to tribunal and lost. The company was able to cite the decision of the Compliance Unit as }{\f1\insrsid9114672 part of its }{ \f1\insrsid201157\charrsid201157 evidence that she was not a \lquote worker.\rquote \par }{\f1\lang2057\langfe1033\langnp2057\insrsid201157\charrsid201157 The homeworker}{\f1\lang2057\langfe1033\langnp2057\insrsid3688769\charrsid201157 was unhappy with this letter being accepted as }{ \f1\lang2057\langfe1033\langnp2057\insrsid12471195\charrsid201157 persuasive}{\f1\lang2057\langfe1033\langnp2057\insrsid3688769\charrsid201157 evidence, she lost the case and following the decision}{ \f1\lang2057\langfe1033\langnp2057\insrsid12471195\charrsid201157 \endash in reference to the letter}{\f1\lang2057\langfe1033\langnp2057\insrsid3688769\charrsid201157 }{\f1\lang2057\langfe1033\langnp2057\insrsid12471195\charrsid201157 - }{ \f1\lang2057\langfe1033\langnp2057\insrsid3688769\charrsid201157 she said: \par }{\f1\insrsid3688769\charrsid201157 \lquote }{\i\f1\insrsid3688769\charrsid201157 This was based on information provided to the Inland Revenue by the Respondents, this information had inaccuracies and is one reason why I had taken the respondents to the Employme}{\i\f1\insrsid1534776\charrsid201157 n}{ \i\f1\insrsid3688769\charrsid201157 t Tribunal to `independ}{\i\f1\insrsid12471195\charrsid201157 e}{\i\f1\insrsid3688769\charrsid201157 ntly` assess the true circumstances}{\f1\insrsid3688769\charrsid201157 .\rquote }{ \f1\lang2057\langfe1033\langnp2057\insrsid3688769\charrsid201157 }{\f1\lang2057\langfe1033\langnp2057\insrsid4609800\charrsid201157 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid12589517 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid4609800 Refusal to investigate}{\f1\lang2057\langfe1033\langnp2057\insrsid15674107\charrsid4609800 .}{\f1\lang2057\langfe1033\langnp2057\insrsid15674107 \par }{\b\insrsid201157 \par }\pard \qj \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \aspalpha\aspnum\faauto\adjustright\rin0\lin0\rtlgutter\itap0\pararsid1779691 {\b\f1\insrsid201157\charrsid201157 Homeworker from Nottinghamshire}{\f1\insrsid201157\charrsid201157 doing packing work. Started work in 1999. She earns around \'a32 to \'a33 per hour. She was afraid to make a complaint while she worked there but when she left she made a comp}{ \f1\insrsid8278305 lai}{\f1\insrsid201157\charrsid201157 nt to the Compliance Unit. She was told that they would not }{\f1\insrsid8278305 take further action}{\f1\insrsid201157\charrsid201157 as the matter had been investigated 2 years previously and the Compliance Officer believed that company she worked for were compliant.}{\f1\lang2057\langfe1033\langnp2057\insrsid201157\charrsid201157 He would not meet with her or discuss the details of her complaint, and was not prepared to take it any further.}{\f1\insrsid201157\charrsid201157 \par She was never contacted during this initial investigation in 2003. \par When she spoke to the Compliance Officer he did not ask anything about her wages or the time taken to do her work. \par She intends to pursue her claim without the support of the Compliance Unit. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid201157\charrsid201157 This outcome is of grave concern to NGH, and has serious implication for workers who want to assert their rights. \par Is it the policy of the Compliance Unit not to investigate a company for a second time? \par The decision of the compliance officer has not been tested at Employment Tribunal so how can it be treated as conclusive? \par Even if the company had been paying NMW in the past, does that mean they are safe from any future investigation? What if environmental health officers took this line for example? \par No company should be given protection against investigation where there is a credible complaint being made. The compliance officer should at the very least be willing to discuss the issue and hear what the complainant has to say.}{ \f1\lang2057\langfe1033\langnp2057\insrsid201157 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid6096310 As part of any investigation into a homeworker}{\f1\lang2057\langfe1033\langnp2057\insrsid11338404 \rquote s}{\f1\lang2057\langfe1033\langnp2057\insrsid6096310 NMW complaint, all other homeworkers working for the company should be contacted \endash }{\f1\lang2057\langfe1033\langnp2057\insrsid11338404 as in the Vale of Glamorgan}{\f1\lang2057\langfe1033\langnp2057\insrsid6096310 case}{ \f1\lang2057\langfe1033\langnp2057\insrsid11338404 , this}{\f1\lang2057\langfe1033\langnp2057\insrsid6096310 homeworker had no knowledge of the previous investigation despite having worke}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 d}{ \f1\lang2057\langfe1033\langnp2057\insrsid6096310 for the company at the time of th}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 e original }{\f1\lang2057\langfe1033\langnp2057\insrsid6096310 investigation.}{ \f1\lang2057\langfe1033\langnp2057\insrsid6096310\charrsid201157 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid1534776 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 Another example of homeworkers not being contacted in the course of a Compliance Unit investigation into non-payment of the NMW \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par }\pard \ql \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \aspalpha\aspnum\faauto\adjustright\rin0\lin0\rtlgutter\itap0\pararsid8137964 { \f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 A }{\f1\lang2057\langfe1033\langnp2057\insrsid7816484 homeworker in Scotland}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 earning less than \'a31 an hour}{ \f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 made an anonymous complain to the NMW helpline. She expected the Compliance Unit to contact her, along with other homeworkers }{\f1\lang2057\langfe1033\langnp2057\insrsid7816484 working}{ \f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 for the company, as part of their investigations. }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 When she heard nothing she contacted the NMW helpline again to find out what was happening with the investigation. They said they could tell her nothing as the original complaint had been anonymous. }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 She then proposed to make a second complaint in her own name so she could ensure it was being followed through. The compliance officer told that even if she did so they were not obliged to give her any information about the progress or result of any investigation.}{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par She believes, but has no way of confirming, that no further action is being taken.}{\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid4609800 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid4609800\charrsid4609800 2) }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11945564 EMPLOYMENT STATUS}{\b\f1\lang2057\langfe1033\langnp2057\insrsid4609800 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid1534776 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid14046413\charrsid14046413 NGH is campaigning for employment rights }{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 to be }{\f1\lang2057\langfe1033\langnp2057\insrsid14046413\charrsid14046413 extended t}{ \f1\lang2057\langfe1033\langnp2057\insrsid14046413 o all homeworkers who are not genuinely in business on their own account. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid6299938 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 Whilst it is extremely positive that the NMW applies to workers rather than just employees, homeworkers are still missing out due to uncertainty around their status.}{ \f1\lang2057\langfe1033\langnp2057\insrsid2252591\charrsid2252591 }{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 The way status cases are currently decided, weighing up the fluctuating importance of the \lquote four tests\rquote creates complex, unpredictable and sometimes inexplicable decisions.}{\f1\lang2057\langfe1033\langnp2057\insrsid6299938\charrsid6299938 }{\f1\lang2057\langfe1033\langnp2057\insrsid6299938 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid10361029 Homeworkers who complain they are not being paid the NMW will frequently find their employment status is challenged by their employer. Not knowing what an Employment Tribunal will conclude about their status is a real discouragement to making a complaint. If homeworkers are found to be self-employed the y have no protection, if they are found to be workers their protections can still be inadequate.}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938\charrsid6299938 \lquote S}{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938 elf}{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938\charrsid6299938 -E}{ \b\f1\lang2057\langfe1033\langnp2057\insrsid6299938 mployed}{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938\charrsid6299938 \rquote }{\b\f1\lang2057\langfe1033\langnp2057\insrsid14046413\charrsid6299938 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 \par }\pard \qj \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \aspalpha\aspnum\faauto\adjustright\rin0\lin0\rtlgutter\itap0\pararsid1779691 { \b\f1\lang2057\langfe1033\langnp2057\insrsid201157\charrsid201157 The courier from Vale of Glamorgan}{\f1\lang2057\langfe1033\langnp2057\insrsid201157 whose case is outlined above}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 is unable to access the NMW because the tribunal judged her to be \lquote self-employed\rquote . This is despite the fact she is clearly not running her own business. The distinction between \lquote worker\rquote and \lquote self-employed\rquote needs to be }{\f1\lang2057\langfe1033\langnp2057\insrsid6293925 revis}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 ed}{\f1\lang2057\langfe1033\langnp2057\insrsid6293925 and clarified}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 , with the onus of proof on the Respondent to demonstrate the Claimant is actually }{\i\f1\lang2057\langfe1033\langnp2057\insrsid14046413\charrsid6293925 running their own business}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 . \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\b\insrsid15272715 \par }\pard \qj \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \aspalpha\aspnum\faauto\adjustright\rin0\lin0\rtlgutter\itap0\pararsid1779691 {\b\f1\insrsid201157 A }{ \b\f1\insrsid15272715\charrsid15272715 Homeworker from Gloucestershire}{\f1\insrsid15272715\charrsid15272715 sorts newspapers for delivery people. She was paid close to the NMW, a month later it was adjusted and she was paid less. She gets around \'a3 2 per hour. \par She complained to the Compliance Unit in February 2005}{\f1\insrsid6096310 , not }{\f1\insrsid15074657 only }{\f1\insrsid6096310 for herself but }{\f1\insrsid15074657 also }{\f1\insrsid6096310 on behalf of the delivery people she distributes to as they do not earn minimum wage}{\f1\insrsid15272715\charrsid15272715 . }{\f1\insrsid15272715 A }{\f1\insrsid15272715\charrsid15272715 Compliance Officer visited in July 2005 and has been in contact with the Financial Director at the company she works for. }{\f1\insrsid15074657 In July 2006}{\f1\insrsid15272715\charrsid15272715 }{\f1\insrsid15074657 the }{ \f1\insrsid15272715\charrsid15272715 Compliance Unit are }{\f1\insrsid15074657 still }{\f1\insrsid15272715\charrsid15272715 trying to decide whether she is a worker and entitled to the NMW or genuinely self-employed. }{\f1\insrsid6096310 \par Since this investigation began the company has tried to make the homeworker sign a contract saying she is self-employed and is responsible for the delivery people she distributes to.}{\f1\insrsid15272715\charrsid15272715 If s}{\f1\insrsid6096310 he signed this }{\f1\insrsid15074657 it }{\f1\insrsid6096310 could make her }{\f1\insrsid15074657 responsible for }{\f1\insrsid15272715\charrsid15272715 the delivery people and }{\f1\insrsid15074657 therefore liable for the fact they have not been earning NMW. Whilst this would seem a nonsense}{\f1\lang2057\langfe1033\langnp2057\insrsid15074657 , in fact decisions on status are so unpredictable she cannot be at all confident of what the outcome of any Tribunal would be.}{\f1\lang2057\langfe1033\langnp2057\insrsid8481786\charrsid15272715 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid15272715 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8481786 The use of what NGH would term \lquote false self-employment\rquote is serving to deny clearly vulnerable, dependent workers of their right to the NMW. We believe this i s an important area for the Commission to look at. }{\f1\lang2057\langfe1033\langnp2057\insrsid6299938 We would like to propose that further research is conducted into the pay, terms and conditions of distribution and delivery workers. It is our understanding that the distribution industry relies upon false self employment to keep costs down. This type of work cannot go overseas \endash making it an ideal candidate for research as there is unlikely to be the major disruption of outsourcing which can occur when industries relying on below NMW rates fall under scrutiny.}{\f1\lang2057\langfe1033\langnp2057\insrsid8481786 \par \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938\charrsid6299938 \lquote W}{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938 orkers}{\b\f1\lang2057\langfe1033\langnp2057\insrsid6299938\charrsid6299938 \rquote \par }{\f1\lang2057\langfe1033\langnp2057\insrsid6299938 \par In addition}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 , homeworkers who are very clearly \lquote workers\rquote under the NMW Act can nevertheless be discouraged from pursuing their case because they are not certain to be found to be \lquote employees\rquote and are therefore in a vulnerable position. Whilst workers are }{\f1\lang2057\langfe1033\langnp2057\insrsid6293925 theoretically}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 protected from suffering a \lquote detriment\rquote }{ \f1\lang2057\langfe1033\langnp2057\insrsid6293925 if they assert their right to }{\f1\lang2057\langfe1033\langnp2057\insrsid15074657 NM}{\f1\lang2057\langfe1033\langnp2057\insrsid6293925 W,}{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 }{ \f1\lang2057\langfe1033\langnp2057\insrsid6293925 because they do not have }{\f1\lang2057\langfe1033\langnp2057\insrsid14046413 full employment protection against unfair dismissal}{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 , redundancy,}{ \f1\lang2057\langfe1033\langnp2057\insrsid14046413 etc, in practice they know they are putting their jobs at risk }{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 by making a complaint. The case of the Gosport rubber trimmers (2003) }{ \f1\lang2057\langfe1033\langnp2057\insrsid16394266 is a particularly stark demonstration of}{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 just this problem}{\f1\lang2057\langfe1033\langnp2057\insrsid16394266 , and the outcome will give little comfort to other homeworkers considering lodging a complaint about the NMW}{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 . \par }{\f1\lang2057\langfe1033\langnp2057\insrsid16394266 \par }\pard \qj \li0\ri0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \faauto\rin0\lin0\rtlgutter\itap0\pararsid1779691 {\b\f1\insrsid201157 Homeworkers from Hampshire}{ \b\f1\insrsid16394266\charrsid16394266 \par }\pard\plain \s15\qj \li0\ri0\sl241\slmult0\widctlpar\brdrt\brdrs\brdrw10\brsp20 \brdrl\brdrs\brdrw10\brsp80 \brdrb\brdrs\brdrw10\brsp20 \brdrr\brdrs\brdrw10\brsp80 \faauto\rin0\lin0\rtlgutter\itap0\pararsid1779691 \f1\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\insrsid16394266\charrsid16394266 Around 60 homeworkers worked for Industrial Rubber Plc (IR Plc) trimming a wide variety of rubber components including ferrules for walking sticks, seals for motorcycles, and the casing for reflecting road studs (cats eyes). Some had worked for IR Plc for over 14 years. Homeworkers at the company were not receiving the minimum wage and in April 2001 the Inland Revenue issued the company with an enforcement notice. Thirteen homeworkers were named on this enforcement notice. This eventually went to tribunal where the unanimous decision of the tribunal was in favour of the homeworkers. The homeworkers named on the enforcement found they were getting less work following the}{\cf1\insrsid16394266\charrsid16394266 tribunal, and the work they were receiving was more laborious and less well p aid compared to those workers who were not named on the enforcement notice. This is illegal under the NMW Act 1998, as workers should not suffer a detriment as a consequence of asserting their }{\cf1\insrsid8278305 statutory }{ \cf1\insrsid16394266\charrsid16394266 right to the minimum wage. \par The company then said it could not give them more work unless they signed new contracts. The contracts included a clause saying that the company were under no obligation to offer work and the homeworkers were under no obligation to complete the work. For 7 weeks over Christ\- mas 2002 the homeworkers who were }{\cf1\insrsid8278305 named }{\cf1\insrsid16394266\charrsid16394266 on the enforcement notice received no work. After seeking advice they signed these contracts and submitted them with a letter stating their grievances, which they hoped would protect their statutory rights. \par }{\insrsid16394266\charrsid16394266 Homeworkers, with NGH and the TGWU, decided to fight for employee status and dem\-onstrate they were suffering a detriment as a consequence of asserting their right to the minimum wage. The homeworkers filed claims for }{\insrsid11338404 detriment (a worker right) and }{\insrsid16394266\charrsid16394266 redundancy and unfair dismissal (employee rights) }{\insrsid11338404\charrsid16394266 to employment tribunal}{\insrsid16394266\charrsid16394266 . Despite strong evidence, including payment by the company of tax, national insurance, holiday, sick and maternity pay, the fact that the homeworkers did not specifically object to the mutuality clause fo rced on them under the threat of no work proved decisive - and on 14}{\cs16\fs14\cf1\insrsid16394266\charrsid16394266 th }{\insrsid16394266\charrsid16394266 October 2003 the tribunal decided that the homeworkers were not employees. }{\insrsid15074657 They received some compensation for detriment, but not \endash therefore \endash for redundancy or unfair dismissal}{\insrsid11338404 .}{\insrsid16394266\charrsid16394266 \par }\pard\plain \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f1\lang2057\langfe1033\langnp2057\insrsid2252591 \par Four years on from the government\rquote s Status Review, this issue is no nearer resolution \endash in fact the government has announced it sees no need to revise the law }{\f1\lang2057\langfe1033\langnp2057\insrsid679327 i}{ \f1\lang2057\langfe1033\langnp2057\insrsid2252591 n this area}{\f1\lang2057\langfe1033\langnp2057\insrsid679327 (}{\i\f1\lang2057\langfe1033\langnp2057\insrsid679327\charrsid679327 Success at Work: Su}{\i\f1\lang2057\langfe1033\langnp2057\insrsid679327 p }{\i\f1\lang2057\langfe1033\langnp2057\insrsid679327\charrsid679327 porting good employers, protecting vulnerable workers}{\i\f1\lang2057\langfe1033\langnp2057\insrsid679327 ,}{\f1\lang2057\langfe1033\langnp2057\insrsid679327 March 2006)}{ \f1\lang2057\langfe1033\langnp2057\insrsid2252591 . As a result, any homeworkers who are considering lodging a complaint have to weigh up the very real possibility they will lose their work}{\f1\lang2057\langfe1033\langnp2057\insrsid679327 . If workers lack the confidence to make NMW complaints, the}{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 Compliance Unit\rquote }{\f1\lang2057\langfe1033\langnp2057\insrsid679327 s ability to investigate and address abuses is seriously }{ \f1\lang2057\langfe1033\langnp2057\insrsid6293925 impair}{\f1\lang2057\langfe1033\langnp2057\insrsid679327 ed}{\f1\lang2057\langfe1033\langnp2057\insrsid2252591 .}{\f1\lang2057\langfe1033\langnp2057\insrsid8481786 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid679327 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid679327\charrsid679327 Conclusion}{\b\f1\lang2057\langfe1033\langnp2057\insrsid679327 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid341747 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid341747\charrsid341747 Our evidence, outlined above, is admittedly drawn from a small number of cases but it is nonetheless concerning. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid679327\charrsid341747 \par The two problems, of previous investigations impeding current ones, and of }{\f1\lang2057\langfe1033\langnp2057\insrsid11945564\charrsid341747 a la}{\f1\lang2057\langfe1033\langnp2057\insrsid679327\charrsid341747 ck of clarity o}{ \f1\lang2057\langfe1033\langnp2057\insrsid11945564\charrsid341747 n}{\f1\lang2057\langfe1033\langnp2057\insrsid679327\charrsid341747 employm ent status, recur frequently in our dealings with homeworkers attempting to access the NMW. These two obstacles to enforcement need to be dealt with to improve the chances of homeworkers receiving the NMW to which they are entitled.}{ \f1\lang2057\langfe1033\langnp2057\insrsid7811068\charrsid341747 \par \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1917516 {\f1\lang2057\langfe1033\langnp2057\insrsid7811068\charrsid341747 More generally, we ar e concerned that the Compliance Unit is failing to investigate NMW complaints relating}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 to homeworking adequately. Whilst we have always encouraged homeworkers contacting us about NMW problems to call the NMW Helpline, we }{\f1\lang2057\langfe1033\langnp2057\insrsid341747 would no longer consider this to be the only or necessarily the best option open to them}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 . }{\f1\lang2057\langfe1033\langnp2057\insrsid341747 In view of the most recent cases we have dealt with, we}{ \f1\lang2057\langfe1033\langnp2057\insrsid7811068 have decreasing confidence in the Compliance Unit\rquote s ability, and }{\f1\lang2057\langfe1033\langnp2057\insrsid1917516 in some cases}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 }{ \i\f1\lang2057\langfe1033\langnp2057\insrsid7811068\charrsid11338404 will}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 , to fully investigate }{\f1\lang2057\langfe1033\langnp2057\insrsid11338404 homeworker }{ \f1\lang2057\langfe1033\langnp2057\insrsid7811068 complaints relating to NMW}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 . We}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 feel there is a lack of awareness amongst Compliance Unit }{ \f1\lang2057\langfe1033\langnp2057\insrsid8278305 staff}{\f1\lang2057\langfe1033\langnp2057\insrsid1917516 }{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 of the specific legislation relating to homeworkers}{ \f1\lang2057\langfe1033\langnp2057\insrsid8278305 \endash in particular}{\f1\lang2057\langfe1033\langnp2057\insrsid7811068 }{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 output workers or those working on a piece rate basis - }{ \f1\lang2057\langfe1033\langnp2057\insrsid7811068 and also of the tactics used by employers to evade their NMW responsibilities.}{\f1\lang2057\langfe1033\langnp2057\insrsid11338404 NMW complaints relating to homeworkers can be particularly complex and it appears that more training of Compliance Unit staff is needed to address the specific issues of homeworking. }{\f1\lang2057\langfe1033\langnp2057\insrsid1917516 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid1917516 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid15074657\charrsid1779691 Recommendations}{\b\f1\lang2057\langfe1033\langnp2057\insrsid15074657 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid15074657 \par {\listtext\pard\plain\f3\lang2057\langfe1033\langnp2057\insrsid15074657 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}\pard \qj \fi-360\li720\ri0\widctlpar\jclisttab\tx720\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin720\itap0\pararsid1779691 { \f1\lang2057\langfe1033\langnp2057\insrsid15074657 The Commission should look into what happens when the Compliance Unit receives a complaint about a company that has already been investigated. \par {\listtext\pard\plain\f3\lang2057\langfe1033\langnp2057\insrsid11338404 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}{\f1\lang2057\langfe1033\langnp2057\insrsid11338404 More training of Compliance Unit staff is needed to address the specific issues of homeworking. \par {\listtext\pard\plain\f3\lang2057\langfe1033\langnp2057\insrsid1917516 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}\pard \qj \fi-360\li720\ri0\widctlpar\jclisttab\tx720\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin720\itap0\pararsid1917516 { \f1\lang2057\langfe1033\langnp2057\insrsid1917516 We understand that Compliance Officers do not receive legal training - but that they can refer complex cases on to the Compliance Unit\rquote s legal team. It would be useful for homeworkers to have more information about this process and whethe}{\f1\lang2057\langfe1033\langnp2057\insrsid7174904 r it has happened in their case \endash so they can be clear at what level a dec ision on their case has been made.}{\f1\lang2057\langfe1033\langnp2057\insrsid1917516 \par {\listtext\pard\plain\f3\lang2057\langfe1033\langnp2057\insrsid10040716 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}\pard \qj \fi-360\li720\ri0\widctlpar\jclisttab\tx720\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin720\itap0\pararsid1779691 { \f1\lang2057\langfe1033\langnp2057\insrsid10040716 When a complaint from }{\f1\lang2057\langfe1033\langnp2057\insrsid1917516 a homeworker }{\f1\lang2057\langfe1033\langnp2057\insrsid10040716 is received}{\f1\lang2057\langfe1033\langnp2057\insrsid1917516 , all homeworkers working for that company should be contacted.}{\f1\lang2057\langfe1033\langnp2057\insrsid10040716 \par {\listtext\pard\plain\f3\lang2057\langfe1033\langnp2057\insrsid15074657 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}{\f1\lang2057\langfe1033\langnp2057\insrsid15074657 Employment rights should be extended to all}{ \f1\lang2057\langfe1033\langnp2057\insrsid1779691 homeworkers who are not genuinel}{\f1\lang2057\langfe1033\langnp2057\insrsid15074657 y in business on their own account. A Tribunal should only judge a worker to be self-employed and therefore not eligibl }{\f1\lang2057\langfe1033\langnp2057\insrsid1779691 e for NMW if the Respondent can demonstrate that the Claimant is genuinely running their own business.}{\f1\lang2057\langfe1033\langnp2057\insrsid15074657 \par {\listtext\pard\plain\f3\lang2057\langfe1033\langnp2057\insrsid1779691 \loch\af3\dbch\af0\hich\f3 \'b7\tab}}{\f1\lang2057\langfe1033\langnp2057\insrsid1779691 Further research should be conducted into the pay, terms and conditio ns of distribution and delivery workers \endash looking in particular at the extent of false self-employment in the industry. \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid7811068 \page }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid3358877 {\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877 BACKGROUND INFORMATION}{\b\f1\lang2057\langfe1033\langnp2057\insrsid11338404 \endash HOMEWORKING IN THE UK}{\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11338404 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11338404 {\b\f1\lang2057\langfe1033\langnp2057\insrsid11338404 The following information }{\b\f1\lang2057\langfe1033\langnp2057\insrsid11338404\charrsid15675300 from the NGH helpline 2003-}{\b\f1\lang2057\langfe1033\langnp2057\insrsid11338404 6 gives a more general picture of homeworker terms and conditions and does not relate exclusively to NMW issues \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid3358877 {\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 \par }\pard \qj \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid1779691 {\f1\lang2057\langfe1033\langnp2057\insrsid3358877 It can be difficult to quantify the problems faced by UK homeworkers due to }{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 a lack of reliable statistics. The UK government does not gather specific statistics on homeworkers , and census questions do not adequately draw out the true extent and nature of homeworking. \par \par The National Group on Homeworking has constant contact with homeworkers across the UK via our national helpline. Whilst the information gathered through this hel pline is not statistically robust, it does at least provide a snapshot of the range of issues homeworkers are facing. \par \par The information below was drawn from records of 1}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 98}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 enquiries from homeworkers received via the helpline between 2003 and 200}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 6}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 . The amount}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 of}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 information provided by the individual homeworkers varies, however, so not all of these figures are drawn from the fu}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 ll 198}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 . Of our sample of homeworkers 8}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 4.4}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 % were female, and 1}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 5.6}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 % male. \par \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 Types of homework \par }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 The most common type of work being done by homeworkers who contacted the helpline was packing (}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 21.6}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 %) followed by telephone work (}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 14.4}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 %) and }{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 assembly work }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 (}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 7.8}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 %). There was a vast range of other work being undertaken at home however, sewing}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 ,}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 knitwear, rubber trimming, admin, electronics, IT, research}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 , recruitment}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 and others. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid8278305\charrsid4278647 Sectors \par }{\i\f1\lang2057\langfe1033\langnp2057\insrsid8278305\charrsid4278647 Manufacturing Sectors \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 1. Textiles and textile products \par \tab a) Hosiery \endash assembly and packing finished products \par \tab b) Clothing \endash complete garment section work \par \tab c) Knitwear \endash hand knitting \par 2. Print, paper and publishing \endash contract packing and assembly \par 3. Plastics and rubber products \endash assembly and related \par 4. Electrical Equipment}{\f1\lang2057\langfe1033\langnp2057\insrsid4278647 \endash assembly}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid4278647 5. Construction \endash packing products \par \par }{\i\f1\lang2057\langfe1033\langnp2057\insrsid4278647\charrsid4278647 Service Sectors \par }{\f1\lang2057\langfe1033\langnp2057\insrsid4278647 1. Travel \par 2. Financial intermediation \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8278305\charrsid15675300 \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 Types of issues \par }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 The most common issue raised by homeworkers who contacted us was }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 loss of work and redundancy}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 (14.1%). }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 The next most common was}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 non-payment of wages (13.5%) }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 \endash in some but not all cases this related to scam companies.}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 Other p}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 ay and national minimum wage queries made up 13.}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 0}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 % of enquiries. Whilst the most common queries related to wages and availability of work, there were also numerous enquiries about working conditions, for example on equipment, holiday pay, health and safety and general enquiries about employment rights. \par \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 NMW \par }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 Of the 5}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 7}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 homeworkers who provided information about pay rates }{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 54}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 % were earning less than the minimum wage. }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 Those}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 being underpaid }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 may be}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 more likely to want to discuss the issue of pay, }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 but }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 nevertheless }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 these figures do}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 demonstrate that compliance with the minimum wage continues to be a serious issue for homeworkers. \par \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 Holiday pay \par }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 Of the }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 51}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 homeworkers who provided information about holiday pay 7}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 0.6}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid15675300 % were not receiving it. Again, this may reflect the fact that those who are missing out are more likely to want to discus s the issue, but nevertheless these figures do indicate there is a significant problem with homeworkers being denied their legal entitlement}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 as workers under the Working Time Regulations.}{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 \par \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid10972602 New piece rates \par }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 In 2004 }{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 a }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 new piece rate}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 }{ \f1\lang2057\langfe1033\langnp2057\insrsid3358877 s}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 ystem was}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 introduced whereby employers had to pay 6/5 of the NMW based on an \lquote average worker \rquote . This system replaced the old fair estimate agreements which did not work well and were not widely used. NGH has no statistical information on how many companies are now using the new piece rate}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 s}{\f1\lang2057\langfe1033\langnp2057\insrsid8278305 ystem}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 . However in the one instance where we }{ \i\f1\lang2057\langfe1033\langnp2057\insrsid3358877\charrsid10972602 know}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 a company is using the 6/5 rule, NGH is convinced that the piece rates in question are completely unrealistic (}{ \f1\lang2057\langfe1033\langnp2057\insrsid8278305 they seem to assume that the completion of work takes approximately half the time it actually}{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 does) so it is still impossible for those workers to earn the NMW. \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \page }{\f1\lang2057\langfe1033\langnp2057\insrsid3358877 \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par \par \par }{\b\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid8137964 For further information please contact: \par }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par Nesta Holden \par Policy and Campaigns Officer \par National Group on Homeworking \par Office 26 \par 30-38 Dock St \par Leeds \par LS1 1JF \par \par Email: }{\field{\*\fldinst {\f1\lang2057\langfe1033\langnp2057\insrsid8137964 HYPERLINK "mailto:nesta@ngh.org.uk" }{\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid14025928 {\*\datafield 00d0c9ea79f9bace118c8200aa004ba90b0200000017000000110000006e00650073007400610040006e00670068002e006f00720067002e0075006b000000e0c9ea79f9bace118c8200aa004ba90b300000006d00610069006c0074006f003a006e00650073007400610040006e00670068002e006f00720067002e007500 6b000000}}}{\fldrslt {\cs17\f1\ul\cf2\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid14025928 nesta@ngh.org.uk}}}{\f1\lang2057\langfe1033\langnp2057\insrsid8137964 \par \par Tel: 0113 2005623 \par \par Web: www.ngh.org.uk}{\f1\lang2057\langfe1033\langnp2057\insrsid8137964\charrsid14046413 \par }}