Approximately one in twenty workers in the UK report not receiving any holiday entitlement, according to new analysis published today by think-tank Resolution Foundation.

The analysis also showed that approximately one in ten workers do not receive a payslip.

Workers in the UK are legally entitled to at least 28 days a year (pro-rated accordingly for part-time workers). The Foundation added that not receiving a payslip makes it hard for workers to calculate whether they’re receiving the right level of pay, pension and holiday entitlement and check for deductions.

The research found that workers in small firms (employing fewer than 25 employees) are most likely to miss out on pay slips and holiday leave, as are workers on zero-hours and temporary contracts.

The analysis was published to mark the start of the Resolution Foundation’s three-year investigation into labour market enforcement and is supported by grant-making foundation the Unbound Philanthropy. It aims to uncover the extent of unlawful working practises across the UK, and identifies where abuse is most common.

The analysis also showed that HMRC identified a record 200,000 cases of workers not receiving the minimum wage as a result of its enforcement work last year, with the Foundation’s analysis finding that at least a quarter of those earning within 5p of the minimum wage are paid less than the legal minimum.

The Foundation’s analysis shows that the likelihood of a worker being subject to labour market violations is closely connected to their personal characteristics, their type of employment contract, the firm they work for, and the industry they work in.

Workers aged under 25 and over 65 are the most likely not to receive a payslip, according to the research.

Around one in six workers aged 65+ report they have no paid holiday entitlement, more than any other age group, while workers aged 25 and under are almost twice as likely be underpaid the minimum wage as any other age group.

Workers in the hotels and restaurants sector are the most likely to miss out on minimum legal workplace entitlements. Around one in seven workers in the sector report receiving no holiday entitlement, three times the rate across the rest of the economy, while around one in seven do not receive a pay slip (a rate 50% higher than the rest of the labour market).

“The government has taken welcome steps to increase both the resources and powers of bodies such as HMRC and the GLAA (Gangmasters and Labour Abuse Agency) in recent years,” the Foundation stated. “However, the UK still largely relies on individuals to hold non-compliant firms to account, with the Employment Tribunal system receiving over 100,000 applications last year.”

The Foundation says however that those workers who are most likely to require redress through the Tribunal system are the least likely to use it. It notes that young people are disproportionately likely to be subject to unlawful working practises, but make far fewer applications than any other age group. In contrast, managers are the least likely to be subject to labour market violations, but are among the most likely to make tribunal claims.

The research comes as Labour party leader Jeremy Corbyn last week pledged to introduce the biggest ever extension to workers’ rights and create a ministry for employment rights and a workers’ protection agency if he secures a Labour majority.

Lindsay Judge, senior economic analyst at the Resolution Foundation, commented, “The UK has a multitude of rules to govern its labour market – from maximum hours to minimum pay. But these rules can only become a reality if they are properly enforced. The government’s welcome proposal to create a new single enforcement agency should leave it better placed to tackle these labour market violations than the multiple bodies currently operating, as long as it’s properly empowered and resourced.”

“Our analysis suggests that while violations take place across the labour market, the government should also prioritise investigations into sectors like hotels and restaurants, along with firms who make large use of atypical employment contracts, as that’s where abuse is most prevalent,” Judge said.