Recently, there has been a great deal of confusion and concern over whether ‘sleep-ins’ should be considered as working time, and as such attract the National Living Wage (NLW)/National Minimum Wage (NMW). This uncertainty is affecting hard working paid and unpaid carers, individuals who pay for their own care either privately or through personal care budgets, councils and care providers.
As a result of LGA representation to Government, alongside other sector social care representatives, Government has committed to spending the next six to eight weeks reviewing the situation, has waived financial penalties preceding 26 July 2017 and has suspended HMRC enforcement activity until 2 October 2017.
The LGA is seeking a solution that provides a sensible way forward that means:
- care workers are paid fairly
- individuals in need of care are not put at risk
- those paying for care directly through a personal budget or privately are not put in personal financial difficulty
- providers are not forced out of businesses
- councils are able to support vulnerable people in their communities and meet their obligations under the Care Act
- where historic and future cost burdens are identified, these are funded in full by Government with genuinely new and additional resource
It is likely there will be further developments and announcements over the forthcoming months. This briefing aims to provide councils with current information as it is available, bearing in mind that Government are in the process of analysing the issue further and are aiming to conclude their work in the next 6-8 weeks.
This briefing does not seek to give legal advice, and councils are recommended to consult with their legal team.
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