Overview

The service sector is particularly vulnerable to costly compliance failures as the national minimum wage rises above £6 for the first time. The impact of the increase in the national minimum wage which came into force on 1 October 2011 is likely to be felt by businesses across the country, not least by those smaller employers already struggling due to the economic downtown. However, the consequences are likely to extend much further as employers come under increased scrutiny for using loopholes to avoid paying the minimum wage.