Fashion retailer Monsoon Accessorize has topped the latest list of companies named and shamed by the Government for unlawful underpayment of wages to its staff.
The high street brand, which has more than 1,000 stores worldwide, failed to pay the national minimum wage to 1,438 workers, underpaying them by more than £100,000.
Business minister Nick Boles named and shamed 115 companies, in sectors including hairdressing, retail, education, catering and social care, that owed their workers over £389,000 in arrears, following investigations by HM Revenue & Customs.
Not paying minimum wage
Review pay rates against the national minimum wage
“Employers that fail to pay the minimum wage hurt the living standards of the lowest paid and their families,” said Boles, adding that the Government was determined that everyone who is entitled to the national minimum wage receives it.
“Next April we will introduce a new national living wage, which will mean a £900-a-year pay rise for someone working full time on the minimum wage and we will enforce this equally robustly.”
Monsoon Accessorize had formerly required employees to wear Monsoon clothes in stores, available to staff at a discount. Because the purchase was compulsory, and was taken from employees’ wages, it meant workers were taking home less than the minimum wage.
In a statement the company said: “Monsoon Accessorize has recently been working with HMRC in a wide-ranging review of its payroll practices in relation to the national minimum wage.
“This review has revealed an historic, unintentional breach of the regulations in respect of its staff discount policies for Monsoon clothing. Monsoon is pleased that this issue has been identified and has already taken prompt action to remedy it.”
Minimum wage cases
Intern paid “expenses only” entitled to be paid national minimum wage
The fashion retailer said it has since introduced a clothing allowance and raised basic wages to prevent it happening again.
The TUC estimates that at least 250,000 workers are denied their legal pay and that only a quarter of offenders are being caught.
TUC general secretary Frances O’Grady said: “It’s good to see that the Government is naming and shaming more companies who pay their employees less than the minimum wage. However, today’s list of offenders is only the tip of the iceberg. Many more employers are getting away with illegal underpayment.
“I am particularly saddened to see Monsoon Accessorize acting in breach of the law. A large firm with thousands of employees has no excuse for not having proper systems in place to ensure staff get their legal wages.”
Sign up to our weekly round-up of HR news and guidance
Receive the Personnel Today Direct e-newsletter every Wednesday
Hairdressers feature regularly in the list and, to improve compliance in the sector, HMRC has announced a campaign to drive voluntary behavioural change.
The full list of companies named today are as follows:
- Monsoon Accessorize Ltd, London W11, neglected to pay £104,507.83 to 1,438 workers
- Tyne & Wear Riding for the Disabled Association, trading as Washington Riding Centre, Washington, neglected to pay £27,151.79 to 6 workers
- Project Security UK Ltd, Doncaster, neglected to pay £23,857.11 to 18 workers
- Carl Keith Salons Ltd, Prescot, neglected to pay £20,535.03 to 5 workers
- Cornwall Glass & Glazing Ltd, trading as Exeter & MacKenzie Glass Centre, Exeter, neglected to pay £14,253.66 to 9 workers
- Mr Gholam Ghiassi, Chaigley, neglected to pay £14,208.40 to 2 workers
- Helen Woodend, trading as New Brooms, Burton-in-Kendal, neglected to pay £13,447.01 to 14 workers
- Stoke College Educational Trust Ltd, trading as Stoke College, Sudbury, neglected to pay £12,094.83 to 7 workers
- Village Garage Engineers Ltd, trading as Village Garage, Plean, neglected to pay £9,159.80 to 3 workers
- Aspect Plumbing & Heating Ltd, trading as Aspect Plumbing & Heating, Liverpool, neglected to pay £8,280.45 to 1 worker
- D A Elliott Farriers Ltd, Whitby, neglected to pay £7,516.44 to 3 workers
- Solex Systems Ltd (ceased trading), Broughton, neglected to pay £5,978.17 to 3 workers
- Ian Balfour & Caroline Balfour, trading as A E Taxis, Kirkcaldy, neglected to pay £4,757.59 to 3 workers
- Westbrookes Property Ltd, Nottingham, neglected to pay £4,661.73 to 9 workers
- Spirit Pub Company (Services) Ltd, Burton on Trent, neglected to pay £4,629.14 to 1 worker
- North Tyneside Learning Trust, trading as Woodlawn Special School, West Monkseaton, neglected to pay £4,312.19 to 1 worker
- Frederick Evans & Laureen Evans, trading as Manston Riding Centre, Ramsgate, neglected to pay £4,142.83 to 1 worker
- Continental Meat Supply Ltd, London SE17, neglected to pay £3,922.59 to 1 worker
- Greenwoods Hotel Management Ltd, trading as Greenwoods Hotel and Spa, Stock, neglected to pay £3,545.18 to 2 workers
- Supreme Care Services Ltd, Morden, neglected to pay £3,528.64 to 1 worker
- Margaret Jankowitz, trading as The Beeches Hair Studio, Clydebank, neglected to pay £3,283.36 to 3 workers
- Paterson SA Ltd, trading as Paterson SA Hairdressing, Edinburgh, neglected to pay £3,216.50 to 15 workers
- The RHU Ltd, Burgess Hill, neglected to pay £3,166.11 to 1 worker
- Mr Prakash Dattani, trading as Interpharm Chemist, Leicester, neglected to pay £3,077.55 to 2 workers
- SEM Electrical Ltd, Darlington, neglected to pay £2,666.09 to 1 worker
- Susan Beeks, trading as Waterside Hair & Beauty, Harmondsworth, neglected to pay £2,662.49 to 1 worker
- Bennett Homes Ltd, Manchester, neglected to pay £2,659.96 to 2 workers
- Andrew Warburton & Theresa Warburton, trading as Alesha Paul Hair Design, Manchester, neglected to pay £2,633.54 to 1 worker
- Subway Universal Ltd, trading as Subway, (Morden, Barbican, Richmond, Twickenham), London, neglected to pay £2,466.77 to 10 workers
- Elgan Davies Ltd, Cardigan, neglected to pay £2,312.62 to 1 worker
- C & R Tyres Ltd, Kelso, neglected to pay £2,261.60 to 3 workers
- AutoPanels North East Ltd, Chester le Street, neglected to pay £2,101.59 to 1 worker
- Giscombe Brown Ltd, trading as Nuba Hair & Beauty, Sheffield, neglected to pay £2,071.68 to 2 workers
- SCC Leisure Ltd, trading as Bar Soba, Glasgow, neglected to pay £2,015.82 to 1 worker
- Charsi Tikka Ltd, London E7, neglected to pay £1,823.19 to 1 worker
- Claire Beaty, trading as Innovations Hair Design, Windsor, neglected to pay £1,765.19 to 1 worker
- Mr Bernard Camish, Mrs Carol Camish, Mr James Coles & Mrs Ria Coles, trading as The Poplars, Trowbridge, neglected to pay £1,748.31 to 1 worker
- Nichola Crosby, trading as Beyond The Fringe, Cwmbran, neglected to pay £1,687.91 to 1 worker
- Paul Scully Ltd, trading as Scully Scully, Godalming, neglected to pay £1,660.85 to 1 worker
- P.K. Meats Ltd, Wimborne, neglected to pay £1,628.86 to 1 worker
- Your Leisure Kent Ltd, trading as Tides Leisure & Indoor Tennis Centre, Deal, neglected to pay £1,619.95 to 1 worker
- Cross Electrical Ltd, Surbiton, neglected to pay £1,597.41 to 1 worker
- March Hair Plymouth Ltd, Plymouth, neglected to pay £1,590.98 to 2 workers
- Carole Eustace & Mark Eustace, trading as Westfield Court Hotel, Sutton Coldfield, neglected to pay £1,510.78 to 1 worker
- Affinity Dental Ltd, Rochdale, neglected to pay £1,452.02 to 1 worker
- Norma Clark Hair & Beauty Ltd, Glasgow, neglected to pay £1,391.32 to 1 worker
- Young Men’s Christian Association Bargoed and District Branch, Bargoed, neglected to pay £1,372.12 to 1 worker
- Capital Care Services (UK) Ltd, London E18, neglected to pay £1,298.83 to 2 workers
- Assess to Progress Ltd, Pudsey, neglected to pay £1,286.76 to 3 workers
- Givehand Ltd, London E17, neglected to pay £1,281.89 to 2 workers
- Studio Fifty Six (Christchurch) Ltd, Christchurch, neglected to pay £1,243.82 to 2 workers
- Little Apple Ltd, trading as Sileby Day Nursery, Leicester, neglected to pay £1,229.21 to 2 workers
- Complete Joinery Midlands Ltd, Nottingham, neglected to pay £1,175.73 to 1 worker
- Printer Cartridge Supplies Ltd, Redruth, neglected to pay £1,096.19 to 1 worker
- Anthony Williamson, Salvatore Bifulco, Tracey Caswell & Leo Bifulco, trading as Your Lifestyle LLP, Gloucester, neglected to pay £1,092.85 to 16 workers
- Ellenborough Park Ltd, trading as Ellenborough Park Hotel, Cheltenham, neglected to pay £1,084.01 to 1 worker
- PCC UK International Ltd, trading as We Love Laptops, Lostock, neglected to pay £1,079.07 to 3 workers
- Metro Surveillance Group Ltd, Cookstown, neglected to pay £1,059.35 to 1 worker
- Joe Allen, trading as Joe Allen Electrical Contractors, Newark, neglected to pay £1,052.51 to 1 worker
- Leo Mancini Ltd, Ascot, neglected to pay £1,022.83 to 1 worker
- Sue Kramer, trading as Hillcrest Montessori Nursery School, Coulsdon, neglected to pay £1,018.79 to 1 worker
- Robert Huggett, trading as Robert & Sheron, Midhurst, neglected to pay £962.38 to 1 worker
- Christopher Spry Ltd, trading as Christopher Spry Hairdressers, Norwich, neglected to pay £931.54 to 1 worker
- Cannon Services (UK) Ltd, Aylesford, neglected to pay £871.03 to 1 worker
- Hyde Park Food Ltd, trading as Chicken Valley, London W12, neglected to pay £820.80 to 1 worker
- LS&R Ltd, trading as Omega Business Supplies, Stockport, neglected to pay £784.92 to 1 worker
- Waters & Sons Independent Funeral Directors Ltd, Southampton, neglected to pay £768.51 to 1 worker
- Xercise4less (Wakefield) Ltd, Wakefield, neglected to pay £751.29 to 1 worker
- Rasheed Mustafa, trading as Riverstone Property, Crawley, neglected to pay £742.91 to 1 worker
- KJM Autos Ltd, Hengoed, neglected to pay £736.12 to 1 worker
- MAC Repair Ltd, Leeds, neglected to pay £715.68 to 1 worker
- Meden Courier Services Ltd, Mansfield, neglected to pay £684.59 to 3 workers
- Lynsey Sellars, trading as La Belle Health & Beauty, Leeds, neglected to pay £659.40 to 1 worker
- Ground Events Ltd, trading as The Playground, London N15, neglected to pay £624.00 to 1 worker
- Ceredigion Couriers Ltd, Machynlleth, neglected to pay £620.55 to 1 worker
- Strathmore Hotels Ltd, trading as Royal Hotel, Argyll, and Salutation Hotel, Perth, neglected to pay £609.97 to 2 workers
- Duval Security Ltd, Derby, neglected to pay £520.00 to 1 worker
- ENA Ltd, trading as ENA Salon, London WC2B, neglected to pay £492.48 to 1 worker
- U & T Ltd, trading as The Sweet Spot, Hamilton, neglected to pay £482.64 to 2 workers
- Lee Nixon, trading as Mediabox Productions, Nottingham, neglected to pay £468.00 to 1 worker
- Christopher Whiteside, trading as The Hair Workshop, Lytham St Annes, neglected to pay £457.58 to 1 worker
- Findme4u Ltd, London SE12, neglected to pay £442.26 to 1 worker
- The Square Bar & Restaurant Ltd, Harrogate, neglected to pay £437.02 to 1 worker
- Wyin Innovations, Croydon, neglected to pay £417.51 to 1 worker
- Nightingale Social Care Staffing Agency Ltd, Barnsley, neglected to pay £405.47 to 1 worker
- Top Quote Ltd, Manchester, neglected to pay £391.89 to 1 worker
- Greg Heywood, trading as Vineyard King, Northampton, neglected to pay £353.93 to 1 worker
- Allen Avenue Ltd, Croydon, neglected to pay £347.24 to 1 worker
- Storm Commercials Ltd, Monk Bretton, neglected to pay £342.40 to 1 worker
- Michelle Marklow, trading as Shellies Flowers, Birmingham, neglected to pay £323.09 to 1 worker
- Sam Clackmannan (Scotland) Ltd, trading as Samantha Blues Hairdressing, Clackmannan, neglected to pay £319.29 to 1 worker
- Cocouk Ltd, trading as Le Dermex, Edinburgh, neglected to pay £305.50 to 1 worker
- Forward Life Ltd, Swansea, neglected to pay £286.00 to 1 worker
- Direct Windows & Conservatories (Staffordshire) Ltd, trading as Direct Windows & Conservatories, Stoke-on-Trent, neglected to pay £274.70 to 1 worker
- Impresstech Ltd, trading as Best One (ceased trading April 2014), London SW2, neglected to pay £272.34 to 1 worker
- International Business Action Ltd, trading as County Hand Car Wash, Morecambe, neglected to pay £266.50 to 1 worker
- Susan Turner, trading as The Belle Air Hairdressing Salon, Wakefield, neglected to pay £261.91 to 2 workers
- Commply (Yorkshire) Ltd, Leeds, neglected to pay £260.37 to 7 workers
- The Court Hotel (Bromley) Ltd, Bromley, neglected to pay £230.67 to 3 workers
- Sweetly Stevia (UK) Ltd, London SE16, neglected to pay £227.50 to 1 worker
- The Spa in Lancing Ltd, trading as The Spa in Lancing, Lancing, neglected to pay £192.26 to 1 worker
- Pimms Hair & Beauty Ltd, Aldershot, neglected to pay £178.22 to 2 workers
- Danhouse Security Ltd, London W6, neglected to pay £161.83 to 2 workers
- D K Forecourts Ltd, trading as Texaco Garage, Caerphilly, neglected to pay £156.00 to 1 worker
- Coach Travel Wales Ltd, trading as Coach Travel Wales, Aberystwyth, neglected to pay £153.52 to 1 worker
- D K Forecourts Ltd, trading as Pavilion Garage, Pontypool, neglected to pay £151.44 to 1 worker
- Pilning Kings Arms Ltd (previous owners), trading as The Kings Arms, Bristol, neglected to pay £143.72 to 1 worker
- Steve Efthimiou, trading as Mr Clutch, Luton, neglected to pay £135.24 to 1 worker
- Urban Angels (Didsbury) Ltd, Didsbury, neglected to pay £133.19 to 1 worker
- Huddleson Enterprises Ltd, trading as The Lock Keeper’s Inn, Belfast, neglected to pay £132.35 to 7 workers
- MLVH Ltd, trading as The Manor Hotel, Christchurch, neglected to pay £124.89 to 1 worker
- Mark Gosling, trading as Regency Autos, Penarth, neglected to pay £116.76 to 1 worker
- Bartek Deli Enterprise Ltd, trading as Polmar Supermarket, London W13, neglected to pay £110.50 to 1 worker
- Mrs Mary Forbes, trading as Mary Forbes Hairdressing, Dundee, neglected to pay £106.44 to 1 worker
- Cribs Estates Ltd, London SW19, neglected to pay £104.32 to 1 worker