Care workers sue over failure to pay minimum wage
The news headlines today have been awash with details of care workers who have sued the council contractor Sevacare and Haringey Council over their alleged failure to pay minimum wage. The claims have been described as the sector’s biggest ever legal claims. Click here for full case details.
The care workers allege that they were being paid at a rate of £3.27 per hour, which is significantly below the National Minimum Wage of £6.70 an hour at the time. They allege that they were required to live in the homes of those they were caring for and were effectively on call for 24 hours a day. The care workers have also raised issues about travel time between visits to clients not being paid and as a result their wages falling below the National Minimum Wage.
Haringey Council and Sevacare have strongly disputed the claims and suggested they had arrangements in place that provided for “an average hourly rate that is at least the national minimum wage over any pay reference period”.
The claims raise numerous issues that can cause employers issues in the care sector. In particular, the question of when on-call time is considered to be 'working time' in relation to pay and the National Minimum Wage. We have put together a helpful guide for employers to help them navigate their way through this complex area. If you would like to receive a copy of the guide please contact our Employment Team on 01603 281153 or email cyung@leathesprior.co.uk.