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Charities Amongst Those On Latest Minimum Wage Named and Shamed List

The Department for Business, Energy and Industrial Strategy (BEIS) has just released the latest minimum wage named and shamed list. The list included the charity, the Epilepsy Society (4th on the list), the hotel chain, Marriott Hotels (2nd on the list), and the childcare/nursery group, Bridge End House Nursery (8th on the list). The list of 179 companies and organisations who were named and shamed, was topped by the restaurant chain, Wagamama Limited.

Minimum Wage Named and Shamed List

9200 workers were found to have been underpaid £1.1 million by 179 companies and organisations, with £1.3 million in fines being imposed

The top 10 on the minimum wage named and shamed list were as follows:-

  1. Wagamama Limited – underpaid £133,212.42 as regards 2,630 workers
  2. Marriott Hotels Limited – 279 employees were underpaid a total of £71,722.93
  3. Thursday (UK) Limited t/a TGI Friday’s underpaid £59,347.64 in relation to 2,302 workers
  4. Epilepsy Society underpaid 26 employees a total of £55,251.37
  5. Wright Leisure Limited t/a Xercise4less underpaid £54,290.37 in relation to 240 workers
  6. Ms Sarah Jane Bowman and Ms Annabel Garland Farnell-Watson t/a Hazelwood House underpaid 3 employees a total of £48,288.66
  7. Seashells Limited underpaid £43,235.91 as regards 68 workers
  8. Bridge End House Nursery Limited underpaid 2 workers a total of £41,938.73
  9. Globebrow Limited t/a Manor Adventure underpaid £33,889.80 in relation to 111 workers
  10. Moy Park Limited underpaid £33,547.57 in relation to 338 workers

Charities Included On The List

The Epilepsy Society, which used to be called the National Society for Epilepsy, was the highest placed charity on the list. They released the following statement: “We were devastated and shocked to find Epilepsy Society listed among UK employers who do not pay their employees the national minimum wage……Those employees who live in our staff accommodation (currently 26) have their rent deducted directly from their pay. Accommodation is provided at a reduced rate but we were unaware that it was above the government’s ‘accommodation offset level’ of £6.40 per day. We are regularly audited by independent auditors and had not been advised that our practice – introduced specifically to support our staff – did not fall within the parameters of the law. Last year, HM Revenue and Customs (HMRC) informed us that by taking rent direct from employees’ salaries, this meant their pay effectively dropped below the national minimum wage. We have since worked closely with HMRC to proactively resolve this issue. We have reimbursed all staff who have been affected. In line with Government regulations all those who are on the national minimum wage are now only charged a maximum of £6.40 per day for their accommodation. All arrears reimbursed have come out of money procured through our business operation and have not affected our fundraising charitable income.”

The Epilepsy Society were not the only charity on the list. North Asian Care was found to have failed to pay 70 employees a total of £15,687.00, whilst Extra Care for Elderly People was determined to have underpaid £1,776.00 in relation to 6 workers. Threshold Housing was also found to have underpaid 41 employees a total of £26,034.00.

Posted in General Employment Law, National Minimum Wage and tagged , .