Labour announce care sector reforms as report estimates thousands not paid minimum wage

Labour are responding to an independent report on the care work industry with a raft of new proposals, aimed at providing better care for patients an working conditions for carers.

The report, published by Baroness Denise Kingsmill, finds that elderly people across the country are given visits lasting just 15 minutes. Not only does this affect the standard of care, limiting how much time can be spent on help with cooking, bathing and taking medication, it also exploits carers.

Many are not paid accordingly if they choose to stay longer than the allocated quarter of an hour, nor for the time spent travelling between care visits – meaning somewhere between 150,000 and 220,000 care workers are paid less than the National Minimum Wage.

On top of this, around 307,000 care workers are on zero-hour contracts, leaving many without proper job security.

Ed Miliband will announce today: that a Labour Government would work with local authorities to end time limited 15 minute visits; the introduction of a Licence to Practice for care managers to improve management standards and training for new workers; and an extension in the remit of the CQC to cover the exploitation of care workers that impacts on those they care for. Under this new remit, the CQC would have a duty to refer to HMRC cases where it suspects there has been a breach of minimum wage laws.

Miliband said:

“I have already set out detailed policy to strengthen the enforcement of the National Minimum Wage and end exploitation of zero hors contracts.

“I know that councils are under enormous pressure from reductions in central government funding But I am also determined that a Labour government will call time on clock-watch care. We will work with councils and care providers to end this practice.”

Shadow Minister for Care and Older People, Liz Kendall added:

“The news that half of all providers inspected by HMRC have failed to pay the minimum wage is shocking. Over a million pounds is now owed to care workers – yet neither HMRC nor the Government will tell us which companies are responsible or how many people have been affected.

“It is totally unacceptable that companies are failing to meet their legal duties. The Government must immediately name the companies concerned, HMRC must take action in each case where it finds non-compliance, and dedicated care workers must get what they are owed.”