Millions of low paid vulnerable workers will get more protection against employers who break the rules on holiday pay, the Government has today announced.
A new body will follow on from an extension of the holiday pay reference period from 12 to 52 weeks .
Business Secretary Greg Clark has launched a consultation for a new Single Labour Market Enforcement body that will create an organisation that people can go to for help if their boss is breaking the rules.
This will include cases where employers aren't paying the minimum wage or allowing them to take their holiday pay allowance.
The consultation will also look at whether the body should also enforce workplace discrimination, harassment and bullying rights.
It follows on from changes to sick pay earlier this year as well as compulsory pay slips for all workers which kicked in on 6 April.
The changes came after a report found 1.2million workers in the UK were in the dark about how much they were paying in national insurance, tax and pension contributions because employers weren't obliged to provide any proof of pay.
Under new rules, employers are also now legally obliged to give staff a day one "statement of rights" setting out their leave allowance and pay on their first day.
The changes are part of a wider review headed by chief executive of the Royal Society for the Encouragement of Arts, Manufactures and Commerce in the United Kingdom, Matthew Taylor, into issues such as the rights of workers in the so-called gig economy, to give workers a more stable place in the jobs' market.
Business Secretary Greg Clark said: “We have a labour market that we can be proud of with more people in work than ever before.
"But it’s right that hard-working people see their rights upgraded and are protected from exploitative practices, whilst ensuring we create a level playing field for the vast majority of businesses who comply with employment laws.
“A new Single Labour Market Enforcement body will bring together our different enforcement partners putting all our expertise in one dedicated place, better protecting workers and enforcing their rights now and into the future.
Peter Cheese, chief executive of the CIPD, the professional body for HR and people development, said: "Stronger understanding and enforcement of employment rights is essential for creating fairer, more inclusive workplaces.
"The creation of a single enforcement body is an important step towards achieving better working lives for the UK’s most vulnerable workers. We welcome the Government’s proposals and the recognition that tougher enforcement needs to go hand in hand with better support for businesses, many of which can fall foul of employment legislation unwittingly."
