A number of South West firms have been named for failing to pay their lowest paid staff the minimum wage.
The UK Government named 202 employers failing to pay minimum wage on Wednesday (June 21), among which Swindon-headquartered WH Smith topped the list, owning employees over £1m.
Almost £5m was found to be owed to around 63,000 workers following investigations by Her Majesty’s Revenue and Customs dating back as far as 2017. Named employers have been made to pay back what they owed, and in addition were fined around £7 million.
The South West firms listed were:
- WH Smith Retail Holdings Limited, Swindon, SN3, failed to pay £1,017,693.36 to 17,607 workers.
B H Live, Bournemouth, BH2, failed to pay £3,757.43 to 130 workers.
Hunter’s Moon UK Limited, trading as Margaret Kimber, Glastonbury, BA6, failed to pay £3,653.22 to 8 workers.
Little Sunbeams Pre-School (Portsmouth), Portsmouth, PO2, failed to pay £3,561.97 to 9 workers.
Toolstation Limited, Bridgwater, TA6, failed to pay £3,090.18 to 79 workers.
Copona Limited - Dissolved 06/04/21, traded as Exmouth Laundry Services, Exmouth, EX8, failed to pay £1,994.61 to 1 worker.
Mr Makudur Rahman, trading as Ghandi Indian Restaurant, Exeter, EX4, failed to pay £1,896.70 to 2 workers.
Mack Daddys Gloucester Road Limited - Dissolved 18/10/2022, Bristol, BS7, failed to pay £1,863.80 to 2 workers.
Mr R.E. Blair and Mrs June Victoria Blair, trading as Higher Trenoweth Farm, St. Austell, PL28, failed to pay £776.76 to 1 worker.
The businesses named have since paid back what they owe to their staff and have also faced financial penalties.
Read more: Nationwide promises to keep high street branches open until 2026
The Department for Business and Trade said that by naming companies, ranging from high street brands to small businesses and sole traders, it wanted to send a clear message from the Government that "no employer is exempt" from paying their workers statutory minimum wage.
It also said that whilst not all minimum wage underpayments are intentional, there is "no excuse" for underpaying workers and that "robust enforcement action" will be taken against employers who do not pay their staff correctly.
Minister for enterprise, markets and small business Kevin Hollinrake said: "Paying the legal minimum wage is non-negotiable and all businesses, whatever their size, should know better than to short-change hard-working staff.
"Most businesses do the right thing and look after their employees, but we’re sending a clear message to the minority who ignore the law: pay your staff properly or you’ll face the consequences."
The investigation uncovered that 39% of employers deducted pay from workers' wages, the same amount failed to pay correctly for their working time, and 21% paid the incorrect apprenticeship rate.
Bryan Sanderson, chair of the Low Pay Commission added: "The minimum wage acts as a guarantee to ensure all workers without exception receive a decent minimum standard of pay. Where employers break the law, they not only do a disservice to their staff but also undermine fair competition between businesses.
"Regular naming rounds should be a useful tool in raising awareness of underpayment and helping to protect minimum wage workers."
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