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| Unpaid internships: moves to bolster crackdown on minimum wage breaches | Unpaid internships: moves to bolster crackdown on minimum wage breaches |
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| The government is to increase attempts to crack down on employers abusing national minimum wage laws following successful moves to reclaim nearly £200,000 in wages owed to unpaid interns. | |
| The Department for Business, Innovation and Skills (BIS) is planning to take more aggressive steps after HMRC's success over the last tax year in helping 167 people who identified themselves as interns, volunteers or work experience workers claw back £192,808 in unpaid wages. | The Department for Business, Innovation and Skills (BIS) is planning to take more aggressive steps after HMRC's success over the last tax year in helping 167 people who identified themselves as interns, volunteers or work experience workers claw back £192,808 in unpaid wages. |
| BIS says that over the coming year it will launch a social media campaign, publish a student handout and encourage people to name bad employers for investigation. | |
| In a letter to Labour MP Hazel Blears, the employment relations minister, Jo Swinson, said the government would produce the booklet to make graduates aware of their employment rights in time for this summer, when hundreds of thousands of UK students are expected to start hunting for work experience placements, which can last – unpaid – for many months. | In a letter to Labour MP Hazel Blears, the employment relations minister, Jo Swinson, said the government would produce the booklet to make graduates aware of their employment rights in time for this summer, when hundreds of thousands of UK students are expected to start hunting for work experience placements, which can last – unpaid – for many months. |
| The Lib Dem minister also confirmed that calls involving unpaid internship abuse made to the government's pay and work rights helpline would be fast-tracked and that those being exploited could claim back pay for placements from the previous six years. Would-be future interns would also be asked to report possible employment abuse if they see adverts for long term unpaid positions, she said. | The Lib Dem minister also confirmed that calls involving unpaid internship abuse made to the government's pay and work rights helpline would be fast-tracked and that those being exploited could claim back pay for placements from the previous six years. Would-be future interns would also be asked to report possible employment abuse if they see adverts for long term unpaid positions, she said. |
| In late December, tax inspectors said they would investigate sporting website Goal.com after it admitted using a roster of 30 unpaid interns to help staff the business, recently valued at £18m. | |
| In a letter that went out earlier this month, Blears – who helped establish a paid internship scheme in parliament in 2011 – called on her fellow MPs to stop advertising unpaid internship positions because they were "taking advantage of the drive and commitment of young people". She said that expecting them "to live and work for free is exploitative, unfair and just plain wrong". | In a letter that went out earlier this month, Blears – who helped establish a paid internship scheme in parliament in 2011 – called on her fellow MPs to stop advertising unpaid internship positions because they were "taking advantage of the drive and commitment of young people". She said that expecting them "to live and work for free is exploitative, unfair and just plain wrong". |
| Speaking to the Guardian, Blears pointed out that unpaid internships had recently been advertised by members of all parties, most prominently Simon Hughes, warning that it could be only a matter of time before an MP was sued under national minimum wage laws for using unpaid labour. | Speaking to the Guardian, Blears pointed out that unpaid internships had recently been advertised by members of all parties, most prominently Simon Hughes, warning that it could be only a matter of time before an MP was sued under national minimum wage laws for using unpaid labour. |
| However, Blears said she believed progress was being made. "I think we are seeing progress in terms of culture change,"she said, adding that there had been a drop in overall numbers of unpaid placements being advertised for MPs. "All of that pressure is having an effect," Blears said. | However, Blears said she believed progress was being made. "I think we are seeing progress in terms of culture change,"she said, adding that there had been a drop in overall numbers of unpaid placements being advertised for MPs. "All of that pressure is having an effect," Blears said. |
| At the end of April, the UK's biggest internet jobs board, Monster.co.uk, pledged to stop advertising any unpaid internships. | At the end of April, the UK's biggest internet jobs board, Monster.co.uk, pledged to stop advertising any unpaid internships. |
| After discussions with Blears, campaigning organisation Intern Aware and careers guidance site Graduate Fog, Monster.co.uk's managing director for UK and Ireland, Andrew Sumner, said it was right to support HMRC's stronger tactics. | After discussions with Blears, campaigning organisation Intern Aware and careers guidance site Graduate Fog, Monster.co.uk's managing director for UK and Ireland, Andrew Sumner, said it was right to support HMRC's stronger tactics. |
| "A healthy future economy relies on the investment businesses make in young people and we believe it's important not to take advantage of those desperate to get a foot on the career ladder," he said. | "A healthy future economy relies on the investment businesses make in young people and we believe it's important not to take advantage of those desperate to get a foot on the career ladder," he said. |
| "We will happily remove any postings that our users alert us to, if these are found not to comply with the minimum wage law," he added. | "We will happily remove any postings that our users alert us to, if these are found not to comply with the minimum wage law," he added. |
| Swinson said: "The law on the national minimum wage is clear. If somebody on a work experience placement or internship is a worker under NMW legislation, then they are entitled to the minimum wage. | Swinson said: "The law on the national minimum wage is clear. If somebody on a work experience placement or internship is a worker under NMW legislation, then they are entitled to the minimum wage. |
| "Internships can be a valuable way of helping young people get into work and realise their ambitions. Anyone who feels they are being exploited should contact the Pay and Work Rights Helpline on 0800 917 2368. Their call will be fast-tracked to HMRC who actively investigate any claims of NMW abuse." | "Internships can be a valuable way of helping young people get into work and realise their ambitions. Anyone who feels they are being exploited should contact the Pay and Work Rights Helpline on 0800 917 2368. Their call will be fast-tracked to HMRC who actively investigate any claims of NMW abuse." |