Several North East firms have been named and shamed for failing to pay their lowest-paid staff the minimum wage.
More than 500 workers across the region were left out of pocket by their employers who failed to cough up the minimum wage.
Ten firms failed to pay more than £25,000 to workers in our region. They range from a spa hotel to a hair stylist, taxi business, and security firm.
Read more: Restaurant named and shamed by HMRC for more than £30,000 of unpaid tax
Nationwide more than 200 employers left 63,000 staff members out of pocket by almost £5m.
To be included on the list employers either deducted pay from wages, failed to pay workers correctly for their hours, or paid the wrong rate to apprentices. All of the businesses on the list were investigated between 2017 and 2019, but have only now been named and shamed by The Department of Business and Trade.
Bryan Sanderson Chair of the Low Pay Commission said: “The minimum wage acts as a guarantee to ensure all workers without exception receive a decent minimum standard of pay.
“Where employers break the law, they not only do a disservice to their staff but also undermine fair competition between businesses.
“Regular naming rounds should be a useful tool in raising awareness of underpayment and helping to protect minimum wage workers.”
Kevin Hollinrake, Thirsk and Malton MP and Minister for Enterprise, Markets and Small Business, said: “Paying the legal minimum wage is non-negotiable and all businesses, whatever their size, should know better than to short-change hard-working staff.
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“Most businesses do the right thing and look after their employees, but we’re sending a clear message to the minority who ignore the law: pay your staff properly or you’ll face the consequences.”
Retail giants WH Smith, Marks & Spencer and Argos were also among firms featured in the UK-wide list.
The ten North East businesses who failed to pay the minimum wage
- Hudsons 23 Limited (trading as 23 Taxis) in Hartlepool failed to pay £7,190.46 to 83 workers.
- PFF Packaging (Sedgefield) Limited which manufacturers rubber and plastic products failed to pay £6,115.36 to 99 workers.
- ITL (North East) Limited based in Gatehead failed to pay £2,346.53 to two workers.
- Disha (Newcastle) Ltd trading as Subway in North Tyneside failed to pay £1,948.98 to two workers.
- Phoenix Eye Ltd, a security firm in North Tyneside, failed to pay £1,917.07 to 301 workers.
- Mrs Karen Wells, trading as Cream Hair Design in South Tyneside, failed to pay £1,776.15 to two workers.
- Mrs Helen Wilson, trading as cleaning firm The Hygiene Machine in Northumberland, failed to pay £1,462.26 to two workers.
- Serenity Health Care (Team) Ltd in County Durham failed to pay £904.09 to two workers. The business was dissolved on May 9, 2023.
- Pizza & Co West Road Limited in Newcastle failed to pay one member of staff £757.62. The business was dissolved on December 15, 2020.
- Ripon Spa Hotel Limited failed to pay £654.85 to eight workers.
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