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Firms ‘named and shamed’ for not paying minimum wage rates

EMPLOYERS underpaying national minimum wage rates have been named and shamed by the Government.

The Department for Business Energy and Industrial Strategy (BEIS) has today released a list of 260 employers who failed to pay 16,000 workers at least minimum wage rates.

Among those on the list include Shipley-based Vivo Hotel Apartments and Fingerprints Nursery, Cleckheaton

Brighouse-based Transline Group, now called Nexus People, after being bought out, is on the list for failing to pay £310,302.12 to 1,421 workers. Russell Taylor Holdings, which bought Transline, declined to comment. 

Scott Roebuck, managing director of Six Five Zero Ltd t/a Vivo Hotel Apartments, which failed to pay £104.40 to one worker, said it was a “total misunderstanding” due to one employee working an extra 30 minutes per week for 12 months. The issue had been rectified and the staff member compensated.

A spokesman for Fingerprints Nursery, listed as failing to pay £4,686.88 to a worker, said it was a technical breach, with no staff underpaid.

National Minimum Wage is paid to employees of at least school leaving age. National Living Wage is paid to those aged 25 and over.

Retail, hairdressing and hospitality businesses were among the most prolific offenders in this round. Common reasons for errors made include failing to pay workers travelling between jobs, deducting money from pay for uniforms and not paying for overtime.

Business Minister Margot James said: “There is no excuse for not paying staff the wages they’re entitled to and the government will come down hard on businesses that break the rules.

“That’s why today we are naming hundreds of employers who have been short changing their workers; and to ensure there are consequences for their wallets as well as their reputation, we’ve levied millions in back pay and fines.”

Bryan Sanderson, Chairman of the Low Pay Commission, added: “The Low Pay Commission’s conversations with employers suggest that the risk of being named is encouraging businesses to focus on compliance.

“Further, it is good to see that HMRC continues to target large employers who have underpaid a large number of workers, as well as cases involving only a few workers, where workers are at risk of the most serious exploitation. It is imperative that the government keeps up the pressure on all employers who commit breaches of minimum wage law.”

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