Are you paying the correct national minimum wage rates to your employees? 37 employers were recently publicly named by the Government for failing to pay national minimum wage rates. Between them they owed workers a total of over £177,000 in arrears and have been charged financial penalties totalling over £51,000.
The Government has increased HM Revenue and Customs’ (HMRC) National Minimum Wage enforcement budget by a further £3 million in financial year 2015 to 2016 – taking the total to £12.2 million. The extra money will go towards increasing the number of HMRC compliance officers to identify businesses that exploit their workers by paying them below the National Minimum Wage rates.
Employers have a duty to be aware of the different legal National Minimum Wage Rates. The current National Minimum Wage Rates are:
- Adult rate (21 and over) – £6.50 per hour
- 18 to 20 year olds – £5.13 per hour
- 16 to 17 year olds – £3.79 per hour
- Apprentice rate – £2.73 per hour
The apprentice rate applies to apprentices aged 16 to 18 years old 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 37 employers* are:
- Kings Group LLP, Hertfordshire, neglected to pay £53,808.91 to 53 workers
- Kings Group Lettings LLP, Hertfordshire, neglected to pay £26,893.43 to 49 workers
- Chi Yip Group Ltd, Middleton, neglected to pay £15,566.78 to 13 workers
- Kingsclere Nurseries Ltd trading as Abacus Day Nursery, Newbury, neglected to pay £12,904.19 to 8 workers.
- Ms Thap Thi Ly trading as Sweet N Sour, Fleetwood, neglected to pay £11,039.14 to 2 workers
- Michael Kearney trading as Electrical Estimates, Ceredigion, neglected to pay £5,557.91 to 4 workers
- ABC Early Learning and Childcare Centre UK Ltd, Wolverhampton, neglected to pay £5,329.25 to 68 workers
- C J Hartley Ltd trading as Headwork, Sheffield, neglected to pay £4,762.64 to 4 workers
- Mrs Kelly Jayne Lockley trading as Diva Hair Design, Walsall, neglected to pay £4,103.65 to a worker
- Browncow Tanning Ltd trading as Fake Bake Hair & Beauty Boutique, Glasgow, neglected to pay £3,406.66 to 2 workers
- J Wood Joiners & Builders Ltd, Edinburgh, neglected to pay £3,373.19 to 4 workers
- Louise Ross Trading as Luxe Salon, Leeds, neglected to pay £3,368.13 to a worker
- H&M Hennes & Mauritz UK Ltd, London, neglected to pay £2,604.87 to 540 workers
- Building Projects Ltd, Dundee, neglected to pay £2,345.85 to 3 workers
- David A Farrer Ltd, Morecambe, neglected to pay £2,261.00 to a worker
- Julian’s Hair Salon Ltd, Newbury, neglected to pay £2,131.35 to a worker
- Motorists Discount Store Ltd trading as TMS Autoparts, Manchester, neglected to pay £2,025.19 to a worker
- Ms Dawn Platts trading as Level 2 Hair Studio, Barnsley, neglected to pay £1,186.89 to a worker
- Myers and Family Ltd, Wakefield, neglected to pay £1.598.82 to a worker
- Welcome Break Holdings Ltd, Newport Pagnell, neglected to pay £1,318.70 to 19 workers
- Callum Austin Ltd trading as Jason Austin Hairdressers, Kettering, neglected to pay £1,899.66 to 2 workers
- Mrs Karen Riley Trading as Crave, Preston, neglected to pay £1,179.09 to 7 workers
- RPM Performance Rally World Ltd, Maldon, neglected to pay £998.71 to a worker
- Ego Hair & Beauty (Anglia) Ltd, Colchester, neglected to pay £985.55 to a worker
- Mr Jinit Shah trading as Crystal Financial Solutions, Middlesex, neglected to pay £941.65 to a worker
- Counted4 Community Interest Company, Sunderland, neglected to pay £930.73 to a worker
- HAE Automotive Services Ltd, Harrogate (ceased trading), neglected to pay £798.16 to a worker
- Vision on Digital Ltd, Ossett, neglected to pay £683.86 to a worker
- Ultimate Care UK Ltd, Ipswich, neglected to pay £613.79 to 7 workers
- Century Motors (Sheffield) Ltd, Sheffield, neglected to pay £571.72 to a worker
- Mr D Eastwell & Mr G Brinkler trading as The Salon, Letchworth Garden City, neglected to pay £409.85 to a worker
- Rumble (Bedworth) Ltd, Nuneaton, neglected to pay £404.41 to a worker
- Shannons Ltd, Worthing neglected to pay £313.76 to a worker
- Holmes Cleaning Company, Worksop neglected to pay £240.48 to a worker
- Learnplay Foundation Ltd, West Bromwich, neglected to pay £224.73 to a worker
- Adrien Mackenzie trading as Maverick Models, Manchester, neglected to pay £205.52 to a worker
- QW Security Ltd, Hartlepool, neglected to pay £126.20 to a worker
If you want to find out more about your obligations as an employer or queries about National minimum wage, give us a call – 01706 565332.
Metis HR is a professional HR Consultancy based in the North West of England supporting clients across the country. We specialise in providing outsourced HR services to small and medium-sized businesses. Call us now on 01706 565332 to discuss how we may help you.