Retailer Argos failed to pay £1.4m of NMW

18 Août, 2017, 05:31 | Author: Marc Bacque
  • Argos was fined £800,000 for underpaying employees Dinendra Haria  REX  Shutterstock

Other organisations that feature on the list include Nunthorpe Nurseries Group, which failed to pay £22,831.38 to 118 staff, and Maughan Microcomputers, which trades as Console Doctor, received failed to pay three employees a total of £15,010.89.

The BEIS handed out a record £1.9m in fines this year, with a total of £4m worth in fines since 2013.

Argos, which was bought by Sainsbury's a year ago, had failed to pay £1.5 million to 12,176 workers, the government said.

Officials said the firm failed to pay £4,900 to nine workers.

Retail, hairdressing and hospitality businesses were among the most prolific offenders.

The list revealed that Argos was the worst offender, after failing to pay £1.4m to 12,176 workers.

Two Falkirk firms are among 233 businesses "named and shamed" as employers who have failed to pay National Minimum Wage and Living Wage. They also had to undergo security searches after their shifts ended.

The underpayment was discovered during a routine HM Revenue and Customs (HMRC) investigation following Sainsbury's acquisition of Argos in 2016.

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Now the National Living Wage for those aged 25 and over is £7.50 per hour and the National Minimum Wage for 21 to 24-year-olds is £7.05 per hour.

"Common errors made by employers in this round included deducting money from pay packets to pay for uniforms, failure to account for overtime hours, and wrongly paying apprentice rates to workers".

Anyone aged over 16 must be paid the minimum wage - now £4.05 per hour for 16-17-year-olds, £5.60 an hour for 18-20-year-olds and £7.05 per hour for 21-24-year-olds.

The statutory national living wage is now set at £7.50 for employees aged 25 and over.

Shadow Scotland Office Minister Paul Sweeney said: "Any trader or business found not to be paying the minimum wage should face the full force of the law".

More than 13,000 of the lowest paid workers will receive a combined total of £2 million in back pay after investigations by the taxman into companies that fail to pay the minimum wage.

The current national living wage is £7.5 per hour for those aged 25 and over and £7.05 per hour for those between 21 and 24.

"I am pleased to say the issue was resolved quickly, and processes have been updated to ensure this can not happen again", said John Rogers, the chief executive of Argos.

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