Low Pay Commission
- Nearly 240 employers who underpaid the National Living and Minimum Wage named today
- 1.44m in back pay has been identified for 22,400 workers, with the employers fined additional 1.97m
- Employers underpaid workers by taking deductions from wages for uniforms, underpaying apprentices and failing to pay travel time
The names of 239 employers found to have underpaid 22,400 UK workers by a total of 1.44m have been published today by the government.
The back pay identified by HMRC was for more workers than in any previous single naming list and has generated record fines of 1.97m.
The earliest underpayment dated back to 2011, with the most recent happening this year (2018).
Business Minister Andrew Griffiths said:
Our priority is making sure workers know their rights and are getting the pay they worked hard for. Employers who dont do the right thing face fines as well as being hit with the bill for backpay.
The UKs lowest paid workers have had the fastest wage growth in 20 years thanks to the introduction of the National Living Wage and todays list serves as a reminder to all employers to check they are getting their workers pay right.
The top 5 reasons for National Minimum and Living Wage underpayments in this round were:
- taking deductions from wages for costs such as uniforms
- underpaying apprentices
- failing to pay travel time
- misusing the accommodation offset
- using the wrong time periods for calculating pay
Low Pay Commission Chairman Bryan Sanderson said:
It is crucial that employers understand their responsibilities and workers know their rights around the minimum wage. That is why active enforcement and effective communication from Government is so important.
It is therefore encouraging to see that HMRC has recovered unpaid wages for the largest number of workers yet in this round of naming and shaming. Im confident that the Government will continue to pursue underpayment of the minimum wage vigorously.
Funding for minimum wage enforcement has more than doubled since 2015, with the government set to spend 26.3m in 2018/19.
The scheme is in its fifth year and calls out employers who have fallen foul of minimum wage laws, so far identifying 10.8m in back pay for around 90,000 workers, with more than 1,900 employers fined a total of 8.4m. HMRC has launched a series of webinars, available on GOV.UK, to help employers check that they are complying with the law.
The government is currently running a campaign to raise awareness of the National Living Wage and National Minimum Wage rates, which increased on 1 April 2018, as well as encouraging workers who have been underpaid to complain to HMRC. The campaign website has had more than 600,000 visits since the campaign kicked off on 1 April.
Employers who pay workers less than the minimum wage have to pay back arrears of wages to the worker at current minimum wage rates and face financial penalties of up to 200% of arrears, capped at 20,000 per worker.
The employers named today are:
- Sportswift Limited, trading as Card Factory, Wakefield WF2, failed to pay 430,097.87 to 10,256 workers, with average arrears of 41.94 per worker
- T.J. Morris Limited, trading as Home Bargains, Liverpool L11, failed to pay 272,228.44 to 6,743 workers, with average arrears of 40.37 per worker
- John Stanleys Care Agency Limited, Tendring CO7, failed to pay 60,056.80 to 91 workers, with average arrears of 659.96 per worker
- Fosse Healthcare Limited, Leicester LE4, failed to pay 50,170.06 to 185 workers, with average arrears of 271.19 per worker
- ASAP 24/7 Ltd, Newcastle-under-Lyme ST5, failed to pay 41,166.31 to 74 workers, with average arrears of 556.30 per worker
- Methodist Guild Holidays Limited, trading as Christian Guild, Derbyshire Dales DE4, failed to pay 29,255.09 to 136 workers, with average arrears of 215.11 per worker
- AM 2 PM Recruitment Solutions (Birmingham) Limited, Birmingham B72, failed to pay 22,919.12 to 2,057 workers, with average arrears of 11.14 per worker
- Ms Hazel Weaver, trading as Orkney and Shetland Charters, Orkney Islands KW17, failed to pay 20,148.60 to 5 workers, with average arrears of 4,029.72 per worker
- The Navy, Army and Air Force Institutes, trading as NAAFI, Portsmouth PO1, failed to pay 19,909.16 to 60 workers, with average arrears of 331.82 per worker
- The Christian Conference Trust, Amber Valley DE55, failed to pay 15,479.62 to 28 workers, with average arrears of 552.84 per worker
- Drive Motor Retail Limited, trading as Drive Vauxhall, Leicester LE2, failed to pay 14,988.21 to 18 workers, with average arrears of 832.68 per worker
- Kent Mart Ltd, Medway ME1, failed to pay 14,850.38 to 14 workers, with average arrears of 1,060.74 per worker
- Bristol City Football Club Limited, trading as Bristol City F.C., Bristol BS3, failed to pay 14,342.73 to 50 workers, with average arrears of 286.85 per worker
- Wyevale Garden Centres Holdings Limited, trading as Wyevale Garden Centres, Hounslow TW8, failed to pay 14,296.58 to 2 workers, with average arrears of 7,148.29 per worker
- Spirit of 1873 Ltd, trading as Wakefield Trinity, Wakefield WF1, failed to pay 12,370.45 to 27 workers, with average arrears of 458.16 per worker
- G.Simmons & Sons Ltd, Walsall WS2 , failed to pay 11,688.35 to 4 workers, with average arrears of 2,922.09 per worker
- Kidderminster Care Limited, Wyre Forest DY10, failed to pay 10,521.42 to 8 workers, with average arrears of 1,315.18 per worker
- Mr Oliver Kerr, trading as Origin Fresh, Fermanagh and Omagh BT79, failed to pay 10,317.95 to 3 workers, with average arrears of 3,439.32 per worker
- Kare Plus National Limited, Telford and Wrekin TF3, failed to pay 9,580.61 to 45 workers, with average arrears of 212.90 per worker
- Abacus (Dawley) Ltd, trading as Abacus Childcare, Telford and Wrekin TF4, failed to pay 8,490 to 3 workers, with average arrears of 2,830 per worker
- Pringles Care Services Limited, Ealing NW10, failed to pay 8,226.63 to 96 workers, with average arrears of 85.69 per worker
- Pakistan International Airlines Corporation, Hillingdon TW6, failed to pay 7,956.01 to 1 worker, with average arrears of 7,956.01 per worker
- Huddersfield Giants Limited, Kirklees HD1, failed to pay 7,801.70 to 24 workers, with average arrears of 325.07 per worker
- Gold Professional Valeting Ltd, Stoke-on-Trent ST6, failed to pay 7,770.76 to 4 workers, with average arrears of 1,942.69 per worker (under previous owners)
- TLC (Car Care) Limited, Midlothian EH19, failed to pay 7,522.43 to 129 workers, with average arrears of 58.31 per worker
- Manchester Sale Rugby Club Limited, trading as Sale Sharks, Trafford M31, failed to pay 7,445.51 to 1 worker, with average arrears of 7,445.51 per worker
- Lyons Holiday Park Limited, Denbighshire LL18,