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Colchester: Hairdresser ‘shamed’ by Government for not paying minimum wage

Employers who have not been paying the minimum wage have been "named and shamed"

Employers who have not been paying the minimum wage have been "named and shamed"

Archant Norfolk Photographic © 2008

A Colchester hairdresser has been “named and shamed” by the Government as part of a new crackdown on employers who have not paid staff the minimum wage.

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Sue English, of Legends Hairdressers off Iceni Way,Shrub End, is among 25 employers the Department for Business, Innovation and Skills has listed this morning as breaching pay rules.

Mrs English is said to have neglected to pay £823.40 to a worker while a second Essex firm, Master Distribution Ltd, neglected to pay £718.62 to an employee.

The EADT has so far been unable to contact the firms for comment.

The total owed to worked by all 25 firms on the list is more than £43,000, and they face combined fines of more than £21,000.

The biggest arrears were racked up by Christine Cadden and Nicola Banks of Renaissance, Wirral, who neglected to pay £7,310.65 to three workers.

Schools, cleaning firms and hotels were also on the list.

Business minister Jenny Willott said: “Paying less than the minimum wage is not only wrong, it’s illegal. If employers break the law they need to know that they will face tough consequences.

“Any worker who is entitled to the minimum wage should receive it. If anyone suspects they are not being paid the wage they are legally entitled to they should call the Pay and Work Rights helpline.”

Frances O’Grady, general secretary of the TUC, added: “It’s great that minimum wage crooks are finally getting named and shamed.

“Under-paying your lowest paid staff is immoral and illegal. Employers caught in the act deserve to be fined and have their reputation ruined.

“This should send a clear message that dodging the minimum wage does not pay. All minimum wage cheats should be named and shamed, and HMRC need greater resources to catch even more crooks.”

The minimum hourly wage is £6.31 for over-21s, £5.03 for those aged 18-20 inclusive, and £3.72 for under-18s. Apprentices aged under-19 must be paid a minimum of £2.68 per hour, as must those over-19 but in the first year of their apprenticeship.

The Government released a first list of employers who had not paid the amount required in October last year in a bid to crackdown on bad practice.

It also plans to increase fines so an employer underpaying 10 workers could face penalties of up to £200,000.

The Pay and Work Rights helpline is 0800 917 2368.

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2 comments

  • Swindled their employees out of £43000 and got fined £21000. Well that'll be a big deterrent then, won't it?

    Report this comment

    beerlover

    Sunday, June 8, 2014

  • This is probably just 'the tip of the iceberg' as many employers who pay under minimum wage do not even pay employees' tax. But also I note that HMRC is shaming small businesses but an alleged underpayment of £27,000 by a Premier League club is not publicised. Is this like the secret deals HMRC had with major companies where allegedly top officials of HMRC met the wealthy bosses of these tax-avoiding international companies for lunch and wrote off billions in tax owed to the British people. Rather sick country we live in where the wealthy are NOT subject to the full might of the law or expectations.

    Report this comment

    Johnthebap

    Sunday, June 8, 2014

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