Three quarters of North West businesses unaware of £20k minimum wage fine

More than 70% of businesses in the North West are unaware that failing to pay staff the national minimum wage could see them issued with a £20k fine, according to a new survey.

In a UK-wide government poll, nearly half (46%) of the North West businesses surveyed were unaware that paying less than the minimum wage can be a criminal offence.

A further 56% of companies in the region did not realise that paying less could see them having to later pay employees the money owed, while 54% did not know they could be publicly named and shamed if found guilty.

The government has estimated that in 2014, there were around 190,000 workers in the North West aged over 21 and being paid on or below the minimum wage, which today (October 1) rises by 3% to £6.70. That wage has risen to £5.30 for those aged 18-20 and £3.87 for under 18s.

The majority of bosses in the North West, according to the survey, believe that meeting or paying more than the national minimum wage is beneficial.

Around 85% said productivity and loyalty among workers was greater, while 83% agreed that customers will be more likely to return if they consider the staff to be paid a fair rate.

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