Treasury Minister David Gauke met with The Recruitment and Employment Confederation (REC) last week to review the handling of travel and subsistence schemes by employers.
The REC had called for more effective and visible enforcement measures surrounding travel and subsistence related pay, which often plays a key part in internships and work experience programmes.
The recruitment industry’s professional body believes that some employers deliver unfair travel and subsistence schemes, which sometimes fall outside of National Minimum Wage regulations.
Tom Hadley, The REC’s director of policy and professional services, says: ‘It was really good to see that the government now recognises the importance of this issue.’
‘Bad practice by some tarnishes the reputation of our whole industry. That’s why we are committed to working with the government to provide real clarity to recruiters and shine a light on dubious models. We will continue to work closely with HMRC officials to ensure that we see real progress, in particular through a fresh, public enforcement drive on minimum wage regulations.’
The Treasury are currently deliberating over practical solutions to deal with the problem.
Want to know more about your rights as an intern? Read our article examining the legality of unpaid internships.