The Leading News & Information Service For The Facilities, Workplace & Built Environment Community

Government Names and Shames Bosses Not Paying Minimum Wage

27 February 2015 | Updated 01 January 1970

This week the names of 70 employers who failed to pay their workers the National Minimum Wage (NMW) were published earlier this week.

Between them, they owed workers a total of over £157,000 in arrears and have been charged financial penalties totalling over £70,000. The government had already named 92 employers since the new naming regime came into force in October 2013. They had total arrears of over £316,000 and total penalties of over £111,000.

To support the minimum wage crackdown, the government will also be increasing HMRC’s £9.2 million enforcement budget by a further £3 million, with the intention of funding an additional 70 compliance officers.

The government has been criticised by trades unions for not being ‘aggressive’ enough in pursuing employers. The GMB is particularly critical in not being allowed to approach HMRC directly on behalf of its members and that directors are not named as well as the businesses involved.

"As part of the public disgracing for the firms named, the GMB is calling for the directors of these companies to be placed on a ‘wage offenders register’ at Companies House and be deemed an unfit person to hold any further directorships,” demanded Martin Smith, National Organiser, GMB.

However, Business Minister, Jo Swinson, said the government was serious in its fight against employers not paying the National Minimum Wage. “We’re working hard in areas where we know there are particular problems, like the care sector, to make sure staff are paid fairly for the hard work they do.”

Currently, approximately100 care sector cases are currently being investigated and three employers have been publicly named, for failing to pay the minimum wage. HM Revenue and Customs (HMRC) has also launched ‘proactive’ investigations into six of the largest employers in the care sector.

Picture: The naming and shaming of 70 employers not paying their staff the National Minimum Wage is part of a wider campaign by the Department of Buisness, Innovation & Skills.

Article written by Mike Gannon | Published 27 February 2015


Related Tags

Related Articles

Union To Make April Fools Out Of OCS And Engie

Having just been awarded contracts with a total value of £1.1 billion, OCS and Engie will be disappointed to learn that strike action could be called before they...

 Read Full Article
Greater Enforcement Needed To Catch Minimum Wage Cheats

Stronger enforcement of the minimum wage is needed as underpayment is rising and fines for those underpaying are too low, according to new research by the Resolution...

 Read Full Article
National Living Wage To Rise Again In April

New Year's Eve saw the Low Pay Commission publish 2019 recommendations on the National Living Wage (NLW) and National Minimum Wage (NMW) - which if accepted would see...

 Read Full Article
Strike Ends With London Living Wage Guaranteed

ISS staff working at BEIS have won what their union is now describing as the 'gold standard' in terms and conditions, including the London Living Wage, after...

 Read Full Article
Immoral Compass Finds Right Direction

A Compass Group company has agreed to the 'return' of working weeks 'stolen' from employees according to the workers' union Unite. ESS had put their...

 Read Full Article
Living Wage Laughed Out The Door - BEIS Strike Planned

Outsourced workers are set for indefinite strike action at the Department for Business, Energy and Industrial Strategy as their employers laugh at a Living Wage plan....

 Read Full Article
Living Wage Champions Recognised At Awards

The annual Living Wage Champion Awards have been delivered - including those from the cleaning sector. We've got the full list of the large and small organisations...

 Read Full Article
Settlement Scheme Success Says Secretary

Home Secretary Sajid Javid has confirmed that more than 750,000 applications have now been received for the EU Settlement Scheme. The EU Settlement Scheme is designed...

 Read Full Article
Poor Pay Packs Punch In England's East

441,950 East Of England residents in employment earned less than the real living wage of £9.00 per hour in the year to April 2018 a new GMB study has shown. The...

 Read Full Article
London Hospitals May See Sodexo Staff Strike

Tuesday April 30 saw three London hospitals hit by protests over pay involving porters, cleaners and domestic staff who work for Sodexo. The protests could escalate to...

 Read Full Article