National Minimum Wage Act 1998

Enforcement U.K.

17 Non-compliance: worker entitled to additional remuneration. U.K.

(1) If a worker who qualifies for the national minimum wage is remunerated for any pay reference period by his employer at a rate which is less than the national minimum wage, the worker shall [F1 at any time (“the time of determination”)] be taken to be entitled under his contract to be paid, as additional remuneration in respect of that period, [F2 whichever is the higher of—

(a) the amount described in subsection (2) below, and

(b) the amount described in subsection (4) below.]

(2) [F3 The amount referred to in subsection (1)(a) above] is the difference between—

(a) the relevant remuneration received by the worker for the pay reference period; and

(b) the relevant remuneration which the worker would have received for that period had he been remunerated by the employer at a rate equal to the national minimum wage.

(3) In subsection (2) above, “relevant remuneration” means remuneration which falls to be brought into account for the purposes of regulations under section 2 above.

[F4 (4) The amount referred to in subsection (1)(b) above is the amount determined by the formula—

where—

• A is the amount described in subsection (2) above,

• R1 is the rate of national minimum wage which was payable in respect of the worker during the pay reference period, and

• R2 is the rate of national minimum wage which would have been payable in respect of the worker during that period had the rate payable in respect of him during that period been determined by reference to regulations under section 1 and 3 above in force at the time of determination.

(5) Subsection (1) above ceases to apply to a worker in relation to any pay reference period when he is at any time paid the additional remuneration for that period to which he is at that time entitled under that subsection.

(6) Where any additional remuneration is paid to the worker under this section in relation to the pay reference period but subsection (1) above has not ceased to apply in relation to him, the amounts described in subsections (2) and (4) above shall be regarded as reduced by the amount of that remuneration.]

Textual Amendments

F1 Words in s. 17(1) inserted (6.4.2009) by Employment Act 2008 (c. 24), ss. 8(2), 22(1)(a) (with s. 8(7)(8)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F2 Words in s. 17(1) substituted (6.4.2009) by Employment Act 2008 (c. 24), ss. 8(3), 22(1)(a) (with s. 8(7)(8)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F3 Words in s. 17(2) substituted (6.4.2009) by Employment Act 2008 (c. 24), ss. 8(4), 22(1)(a) (with s. 8(7)(8)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F4 S. 17(4)-(6) inserted (6.4.2009) by Employment Act 2008 (c. 24), ss. 8(5), 22(1)(a) (with s. 8(7)(8)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

Modifications etc. (not altering text)

C1 S. 17 modified by 1948 c. 47, s. 3A(1)-(4) (as inserted (1.4.1999) by 1998 c. 39, ss. 47(1)(a), 56(2), Sch. 2 Pt. I, para. 3 (with s. 36); S.I. 1999/685, art. 2, Sch.)

S. 17 modified by 1949 c. 30, s. 3A(1)-(3) (as inserted (1.4.1999) by 1998 c. 39, ss. 47(1)(b), 56(2), Sch. 2 Pt. II, para. 13 (with s. 36); S.I. 1999/685, art. 2, Sch.)

C2 S. 17 extended (with modifications) by S.I. 1997/2151 (N.I. 22), art. 8A (as inserted (1.4.1999) by 1998 c. 39, ss. 47(1)(c), 56(2), Sch. 2 Pt. III, para. 26 (with s. 36); S.I. 1999/685, art. 2, Sch.)

C3 S. 17 modified (1.4.1999) by 1948 c. 47, s. 3A(3A) (as amended (1.4.1999) by S.I. 1999/712, reg. 2(3)

C4 S. 17 amended (1.4.1999) by 1949 c. 30, s. 3A(3A) (as inserted (1.4.1999) by S.I. 1999/750, reg. 2(3)

C5 S. 17 applied (with modifications) (E.W.) (30.7.2014) by Agricultural Sector (Wales) Act 2014 (anaw 6), ss. 5(1)(2)(c)(3)-(7), 19 (with s. 14(1))

18 Enforcement in the case of special classes of worker. U.K.

(1) If the persons who are the worker and the employer for the purposes of section 17 above would not (apart from this section) fall to be regarded as the worker and the employer for the purposes of—

(a) Part II of the M1 Employment Rights Act 1996 (protection of wages), or

(b) in relation to Northern Ireland, Part IV of the M2 Employment Rights (Northern Ireland) Order 1996,

they shall be so regarded for the purposes of the application of that Part in relation to the entitlement conferred by that section.

(2) In the application by virtue of subsection (1) above of—

(a) Part II of the M3 Employment Rights Act 1996, or

(b) Part IV of the M4 Employment Rights (Northern Ireland) Order 1996,

in a case where there is or was, for the purposes of that Part, no worker’s contract between the persons who are the worker and the employer for the purposes of section 17 above, it shall be assumed that there is or, as the case may be, was such a contract.

(3) For the purpose of enabling the amount described as additional remuneration in subsection (1) of section 17 above to be recovered in civil proceedings on a claim in contract in a case where in fact there is or was no worker’s contract between the persons who are the worker and the employer for the purposes of that section, it shall be assumed for the purpose of any civil proceedings, so far as relating to that amount, that there is or, as the case may be, was such a contract.

Marginal Citations

M1 1996 c. 18.

M2 S.I. 1996/1919 (N.I.16).

M3 1996 c. 18.

M4 S.I. 1996/1919 (N.I.16).

F5 19 Notices of underpayment: arrears U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19A Notices of underpayment: financial penalty U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19B Suspension of financial penalty U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19C Notices of underpayment: appeals U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19D Non-compliance with notice of underpayment: recovery of arrears U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19E Non-compliance with notice of underpayment: recovery of penalty U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19F Withdrawal of notice of underpayment U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19G Replacement notice of underpayment U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F5 19H Effect of replacement notice of underpayment U.K.

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Textual Amendments

F5 Ss. 19-19H omitted (7.4.2026) by virtue of Employment Rights Act 2025 (c. 36), s. 159(3), Sch. 10 para. 23 (with s. 147 Sch. 11); S.I. 2026/323, reg. 4(1)(55)(a)

F6 20 Non-compliance: power of officer to sue on behalf of worker. U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

Modifications etc. (not altering text)

C6 S. 20 modified (prosp.) by 1948 c. 47, s. 3A(1)-(4) (as inserted by 1998 c. 39, ss. 47(1)(a), 56(2), Sch. 2 Pt. I, para. 3 (with s. 36))

S. 20 modified (prosp.) by 1949 c. 30, s. 3A(1)-(3) (as inserted by 1998 c. 39, ss. 47(1)(b), 56(2), Sch. 2 Pt. II, para. 13 (with s. 36))

C7 S. 20 extended (with modifications) (prosp.) by S.I. 1997/2151 (N.I. 22), art. 8A (as inserted by 1998 c. 39, ss. 47(1)(c), 56(2), Sch. 2 Pt. III, para. 26 (with s. 36))

F6 21 Financial penalty for non-compliance. U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

Modifications etc. (not altering text)

C8 S. 21 modified (prosp.) by 1948 c. 47, s. 3A(1)-(4) (as inserted by 1998 c. 39, ss. 47(1)(a), 56(2), Sch. 2 Pt. I, para. 3 (with s. 36))

S. 21 modified (prosp.) by 1949 c. 30, s. 3A(1)-(3) (as inserted by 1998 c. 39, ss. 47(1)(b), 56(2), Sch. 2 Pt. II, para. 13 (with s. 36))

C9 S. 21 extended (with modifications) (prosp.) by S.I. 1997/2151 (N.I. 22), art. 8A (as inserted by 1998 c. 39, ss. 47(1)(c), 56(2), Sch. 2 Pt. III, para. 26 (with s. 36))

Commencement Information

I1 S. 21 wholly in force at 1.4.1999; s. 21(4) in force for certain purposes at Royal Assent see s. 56(2); s. 21 in force at 1.4.1999 insofar as not already in force by S.I. 1998/2574, art. 2(2), Sch. 2

F6 22 Appeals against penalty notices. U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

Modifications etc. (not altering text)

C10 S. 22 modified (prosp.) by 1948 c. 47, s. 3A(1)-(4) (as inserted by 1998 c. 39, ss. 47(1)(a), 56(2), Sch. 2 Pt. I, para. 3 (with s. 36))

S. 22 modified (prosp.) by 1949 c. 30, s. 3A(1)-(3) (as inserted by 1998 c. 39, ss. 47(1)(b), 56(2), Sch. 2 Pt. II, para. 13 (with s. 36))

C11 S. 22 extended (with modifications) (prosp.) by S.I. 1997/2151 (N.I. 22), art. 8A (as inserted by 1998 c. 39, ss. 47(1)(c), 56(2), Sch. 2 Pt. III, para. 26 (with s. 36))

F6 [F7 22A Withdrawal of enforcement notice U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F7 Ss. 22A-22F inserted (6.4.2005) by Employment Relations Act 2004 (c. 24), ss. 46(1), 59(3); S.I. 2005/872, art. 4, Sch. (with art. 15)

F6 22B Replacement of enforcement notice U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F7 Ss. 22A-22F inserted (6.4.2005) by Employment Relations Act 2004 (c. 24), ss. 46(1), 59(3); S.I. 2005/872, art. 4, Sch. (with art. 15)

F6 22C Effect of replacement on penalties where section 22A(3) not applied U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F7 Ss. 22A-22F inserted (6.4.2005) by Employment Relations Act 2004 (c. 24), ss. 46(1), 59(3); S.I. 2005/872, art. 4, Sch. (with art. 15)

F6 22D Effect of replacement on appeals and civil proceedings where section 22A(3) not applied U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F7 Ss. 22A-22F inserted (6.4.2005) by Employment Relations Act 2004 (c. 24), ss. 46(1), 59(3); S.I. 2005/872, art. 4, Sch. (with art. 15)

F6 22E Withdrawal of penalty notice U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F7 Ss. 22A-22F inserted (6.4.2005) by Employment Relations Act 2004 (c. 24), ss. 46(1), 59(3); S.I. 2005/872, art. 4, Sch. (with art. 15)

F6 22F] Replacement of penalty notice with notice imposing lower penalty U.K.

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Textual Amendments

F6 Ss. 19-19H substituted for ss.19-22F (6.4.2009) by Employment Act 2008 (c. 24), ss. 9(1), 22(1)(a) (with s. 9(7)); S.I. 2009/603, art. 2 (with art. 3, Sch.)

F7 Ss. 22A-22F inserted (6.4.2005) by Employment Relations Act 2004 (c. 24), ss. 46(1), 59(3); S.I. 2005/872, art. 4, Sch. (with art. 15)