Harlow company named in “failed to pay minimum wage” list

Politics / Tue 24th Feb 2015 at 11:32am

Biz and skillsTHE government has named 70 companies including one in Harlow that have failed to pay workers the minimum wage.

All the firms named face financial penalties as well as suffering damage to their reputations. Some 160 firms have been named since a new regime came into force in 2013.

Matrix Electrical Engineering Ltd, which is based in Horsecroft Place, Harlow, neglected to pay £286.60 to a worker.

The worst offender was care provider East Midlands Crossroads, which owed £37,500 to 184 workers

Business Minister Jo Swinson said paying less than the minimum wage was illegal, immoral and completely unacceptable.

“Naming and shaming gives a clear warning to employers who ignore the rules, that they will face reputational consequences as well as financial penalties of up to £20,000 if they don’t pay the minimum wage,” she said.

Legislation is being planned so that the fine can be applied to each underpaid worker, rather than per employer.

“We are helping workers recover the hundreds of thousands of pounds in pay owed to them as well as raising awareness to make sure workers are paid fairly in the first place,” Ms Swinson added.

The latest naming and shaming comes a day after the Low Pay Commission recommended a 3 per cent rise in the adult minimum wage from £6.50 an hour to £6.70 an hour from October.

That would be the biggest increase since 2008 if it is accepted by the Government. A decision will be made in the coming weeks.

The rate for 18 to 20-year-olds would go up to £5.30 an hour, £3.87 for 16 and 17-year-olds and £2.80 an hour for apprentices.

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