Staffline pays back £5.1m over National Minimum Wage breaches
Nottingham-based training and recruitment firm Staffline has repaid over £5.1m to almost 37,000 workers.
Staffline is one of over 500 employers who have been found to have failed to pay their workers nearly £16m in a clear breach of the National Minimum Wage (NMW) law, leaving over 172,000 workers out of pocket.
The businesses named in the list have since paid back what they owe to their staff and have also faced financial penalties of up to 200% of their underpayment. The investigations by HMRC concluded between 2015 and 2023.
Minister for Enterprise, Markets and Small Business Kevin Hollinrake said: “Employees deserve to get paid properly for the hard work they put in.
“While the majority of businesses already do the right thing and pay their staff what they are owed, today’s announcement sends a message to the minority who aren’t – that there are repercussions to undercutting hard work from their staff.”
Whilst the government says not all minimum wage underpayments are intentional, it says has been clear that anyone entitled to be paid the minimum wage should receive it, and that enforcement action will be taken against employers who do not pay their staff correctly.
Independent commissioner at the Low Pay Commission, Patricia Rice, said: “Since its introduction nearly twenty-five years ago, the national minimum wage has played a vital role in protecting the earnings of the lowest-paid workers in the UK. At a time when the cost-of-living is rising, it is more important than ever that these workers receive the pay to which they are entitled.”
NMW underpayment not only cheats workers of their rightful due, it leaves compliant firms undercut by those who do not abide by the law. By naming the firms responsible for significant underpayment, we raise awareness of the nature and the scale of underpayment and encourage all employers to ensure that they fully comply with the law.
A spokesperson for Staffline said: “Staffline is aware that it has been included in a recent Department for Business and Trade press release in relation to companies who have historic national minimum wage breaches. Staffline would like to clarify that these are historic breaches and related to the period 2013 to 2018. Remedial actions were taken in 2019 and formally concluded with HMRC to their complete satisfaction in 2020.
“Under new management since 2019, Staffline places its worker welfare and regulatory compliance of paramount importance, having created a strong corporate governance platform that provides assurance on all the regulatory issues, especially minimum wage compliance.”
