THIRTEEN hospitality and foodservice businesses are among the 115 companies named and shamed for failing to pay the national minimum wage to some workers.
The Spirit Pub Company neglected to pay one worker over £4,600 – the largest breach in the sector. Four branches of Subway paid 10 workers a total of £2,466.77 less than the national minimum.
Across the 13 firms, 32 staff were owed £19,417.81. This represents around 5% of breaches revealed by the Department for Business, Innovation and Skills. The worst offender was retailer Monsoon with a breach totalling £104,507.83 and involving 1,438 employees.
The naming and shaming scheme was revised in October 2013 to make it simpler to spotlight employers that do not comply with minimum wage rules. Since then, 400 employers have been named and shamed with arrears and penalties totalling £1.81m and £0.5m respectively. In the most serious cases employers can be prosecuted.
“Employers that fail to pay the minimum wage hurt the living standards of the lowest paid and their families,” said business minister Nick Boles.
In April 2016 the minimum wage will be replaced by the higher national living wage. Recent research shows the policy will hit foodservice and hospitality businesses hardest, adding 3.4% to the sector’s wage bill.