Named and shamed: the East Midlands companies caught paying staff below National Minimum Wage

Over 200 employers have being named and shamed by government for failing to pay their lowest paid staff the minimum wage.

The 208 employers were found to have failed to pay their workers £1.2m in a clear breach of National Minimum Wage (NMW) law, leaving around 12,000 workers out of pocket. Some 25 East Midlands companies were among the list.

Companies named range from multinational businesses and large high street names to SMEs and sole traders, in a clear message that no employer is exempt from paying their workers the statutory minimum wage.

These businesses have since had to pay back what they owe to staff and also face significant financial penalties of up to 200% of what was owed, which are paid to the government. The investigations by Her Majesty’s Revenue and Customs concluded between 2014 and 2019.

Minister for Labour Markets Paul Scully said: “We want workers to know that we’re on their side and they must be treated fairly by their employers, which is why paying the legal minimum wage should be non-negotiable for businesses.

“The 208 businesses, whatever their size, should know better than to short-change hard-working employees, regardless of whether it was intentional or not.

“With Christmas fast approaching, it’s more important than ever that cash is not withheld from the pockets of workers. So don’t be a scrooge – pay your staff properly.”

The employers named today previously underpaid workers in the following ways:

– 37% – deductions that reduce minimum wage pay, for example workers out of pocket to comply with the dress code
– 29% – unpaid working time such as mandatory training, trial shifts or travel time
– 16% – failing to pay the correct rate to apprentices
– 11% – not increasing NMW pay in line with government rises, or paying the wrong minimum wage rate, for example paying a 23 year old the 21-22 year old rate

The East Midlands companies named and shamed are:

– Magnum Care Limited, Leicester, failed to pay £22,711.44 to 174 workers
– Yarr Ltd (active proposal to strike off), trading as Maryland Chicken, Leicester, failed to pay £21,089.55 to 16 workers.
– House of Fraser Limited (under new ownership), Bolsover, NG20, failed to pay £16,235.19 to 354 workers
– L & M(Heating) Supplies Limited, North Northamptonshire, failed to pay £9,963.60 to 7 workers
– Goldie Hotels (3) Limited, trading as Hallmark Hotels, Derby, failed to pay £9,335.76 to 59 workers
– Nourish Training Ltd, trading as CSP Recruitment, Leicester, failed to pay £9,262.27 to 81 workers
– Blue Chilli Thai 2012 Ltd, Mansfield, failed to pay £9,103.22 to 1 worker
– Quad Joinery Contractors Limited, Gedling, failed to pay £7,223.25 to 1 worker
– Inverhome Limited, trading as Morton Grange Nursery, North East Derbyshire, failed to pay £6,970.95 to 35 workers
– Hand Car Wash Centre Ltd (under new ownership), Boston, failed to pay £6,622.38 to 4 workers
– Mr Robin Swain & Mrs Andrea Swain, trading as Seacroft Mobility, East Lindsey, failed to pay £4,843.56 to 13 workers
– Guy Bacon Electrical Limited – dissolved 13th October 2020, Charnwood, failed to pay £3,673.92 to 1 worker
– Muciqi HCW Ltd (active proposal to strike off), trading as Muciqi Hand Car Wash, Newark and Sherwood, failed to pay £3,104.64 to 17 workers
– Blagreaves Hand Car Wash Limited, Derby, DE23, failed to pay £2,824.95 to 3 workers
– Apparel Trading Ltd, Leicester, failed to pay £2,671.01 to 51 workers
– B & S Decorators Limited, North Northamptonshire, failed to pay £2,055 to 1 worker
– Leicester Motors Limited, Leicester, failed to pay £1,981.21 to 2 workers
– Hollywood Nails 104 Ltd, Bassetlaw, failed to pay £1,365.45 to 3 workers
– Taylors Service Garages (Boston) Limited, Boston, PE21, failed to pay £1,110.74 to 3 workers
– Lincolnshire Quality Care Services Ltd, North East Lincolnshire, DN31, failed to pay £1,006.72 to 54 workers
– Hope House School Limited, Newark and Sherwood, failed to pay £829.49 to 1 worker
– Pendragon PLC, Ashfield, failed to pay £779.11 to 1 worker
– Same Day 2 Go Limited – in liquidation, North Northamptonshire, failed to pay £742.14 to 2 workers
– C & C Inns Limited, trading as The Chequers Inn, South Kesteven, failed to pay £562.55 to 1 worker
– Nethercote House Limited, (previously trading as Capulet Spa Limited), Derby, failed to pay £529.88 to 1 worker