Member Article

Two Yorkshire businesses named and shamed by Government for failing to pay minimum wage

Two Yorkshire businesses have been named by the government in a list of 25 employers that have failed to pay their workers according to the National Minimum Wage.

Alan King and John King of Arthur Simpson & Co, Bradford, neglected to pay £6,426.12 to a worker and Luigi’s Little Italy Ltd, of Holmfirth in Yorkshire, neglected to pay £281.04 to 5 workers.

They were named under the new regime introduced last October 2013, which makes it easier to name and shame wrongdoers. Between the 25 businesses, workers more than £43k in arrears and in addition have to pay financial penalties totalling over £21k.

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 on 0800 917 2368.”

The government introduced a series of tougher measures to crack down on employers that break National Minimum Wage law. As well as being publicly named and shamed, employers that fail to pay their workers the National Minimum Wage also face new penalties of up to £20,000 - 4 times higher than before.

The government also plans to legislate in the new parliamentary session so that employers can also be given penalties of up to £20k for each individual worker they have underpaid, rather than the maximum penalty applying to each employer. This will mean if an employer underpays 10 workers, they could face penalties of up to £200k.

This was posted in Bdaily's Members' News section by Clare Burnett .