Round 12 - Name & Shame Minimum Wage Cheats Exposed
On Wednesday 16, 233 employers were named and shamed by The Department for Business, Energy and Industrial Strategy for underpaying their workers the National Minimum or...
Read Full ArticleBusiness Minister Jo Swinson has named 48 employers who have failed to pay their workers the National Minimum Wage.
Between them, the companies named owe workers over £162,000 in arrears. They span sectors including fashion, publishing, hospitality, health and fitness, automotive, care and retail.
This latest round of Naming & Shaming brings the total number of companies disgraced under the new Department for Business, Innovation & Skills regime to 210 employers, with total arrears of over £635,000 and total penalties of over £248,000.
Swinson said: “There’s no excuse for companies that don’t pay staff the wages they’re entitled to – whether by wilfully breaking the law or making irresponsible mistakes.
“The Government is protecting workers by cracking down on employers who ignore minimum wage rules. In addition to naming and shaming, we’ve increased the penalty fines and boosted the resources available to investigate non-compliance.”
The 48 cases named were thoroughly investigated by HM Revenue & Customs (HMRC). The scheme was revised in October 2013 to make it simpler to name and shame employers that do not comply with minimum wage rules.
Employers have a duty to be aware of the different legal rates for the National Minimum Wage. The current National Minimum Wage rates are:
The apprentice rate applies to apprentices aged 16-18 and those aged 19 and over who are in their first year. All other apprentices are entitled to the National Minimum Wage rate for their age.
The Government is committed to increasing compliance with minimum wage legislation and effective enforcement of it. Everyone who is entitled to the minimum wage should receive it. The Department for Business, Innovation & Skills scheme to name employers who break minimum wage law came into effect on 1 January 2011. The scheme is one of a range of tools at the Government’s disposal to tackle this issue. Employers who pay workers less than the minimum wage not only have to pay back arrears of wages at current minimum wage rates but also face financial penalties of up to £20,000. In the most serious cases employers can be prosecuted.
From 1 October 2013 the Government revised the naming scheme to make it simpler to name and shame employers who break the law. Under this scheme the Government will name all employers that have been issued with a Notice of Underpayment (NoU) unless there are exceptional criteria or have arrears of £100 or less.
Further information about the revised BIS NMW naming scheme can be found here
www.gov.uk/government/publications/enforcing-national-minimum-wage-law
The 48 employers named this week are:
??If you have any questions about the National Minimum wage as a worker or as an employer, call Acas on 0300 123 1100 or visit www.gov.uk
Picture: Business Minister Jo Swinson
Article written by Brian Shillibeer | Published 25 March 2015
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