More businesses in the North-East have been ‘named and shamed’ by the Government for not paying the national minimum wage.
The businesses were revealed by Business Minister Jo Swinson and included employers not complying with minimum wage rules and having arrears of more than £100 owing to staff.
Those named and who are based in the region were:
- Mrs Karen Aitken, trading as Angel Hair Design, of Gainford, Darlington, neglecting to pay £703.33 to a worker
- Mrs Deborah Adcock, trading as LJ Beauty and Hair, of Seaham, neglecting to pay £463.60 to a worker
- Inn2inns Ltd, of Hemlington, Middlesbrough, neglecting to pay £323.10 to two workers
- Mr Assad Madani, trading as Dona Papa Pizza, in Chester-le-Street, neglecting to pay £101.64 to a worker
The Department for Business, Innovation and Skills, which published the 70 strong list, said each case had been “thoroughly investigated” by Her Majesty’s Revenue and Customs (HMRC).
Ms Swinson said: “Paying less than the minimum wage is 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.”
The GMB union said there were still far too few “wage dodging employers” being brought to justice and “bucket loads of evidence” that big firms in particular could afford to pay more.
The Government said it was increasing HMRC’s enforcement budget by a further £3m a year in a bid to recover hundreds of thousands of pounds owed to workers.
The GMB also said a wage offenders register should be kept by Company House with those on it deemed unfit to hold further directorships.
The current national minimum wage for those aged 21 and over is £6.50 an hour, although the Low Pay Commission yesterday recommended to ministers it increases by 20p to £6.70 an hour.
COMPANIES NATIONALLY PAYING LESS THAN THE MINIMUM WAGE
- East Midlands Crossroads – Caring for Carers, Nottingham, neglected to pay £37,592.56 to 184 workers.
- Delcom Systems Ltd, Salisbury neglected to pay £11,731.52 to a worker.
- S Hanns LLP, Chatham neglected to pay £8,448.84 to a worker.
- The Apostolic Church trading as James Kane Nursery, London, neglected to pay £8,347.71 to 2 workers.
- Young Friends Nursery Ltd, Hove, neglected to pay £6,789.71 to a worker.
- Station Garage (Little Weighton) Ltd, Little Weighton neglected to pay £5,440.77 to 2 workers.
- KRCS (Digital Solutions) Ltd, Nottingham, neglected to pay £5,161.85 to 5 workers.
- Mrs Shirley Elvin trading as Seaton Garage & Engineering Co, Hull, neglected to pay £4,840.31 to a worker.
- Pontcanna Hair Studio Ltd, Cardiff, neglected to pay £4,784.34 to a worker.
- Carol Ann Daker trading as Swan Hill House Residential Home, Shropshire, neglected to pay £4,395.78 to 27 workers.
- Hobby Horse Ltd, Plymouth, neglected to pay £4,049.31 to a worker.
- Fylde Coast Pizza Ltd trading as Papa Johns, Blackpool, neglected to pay £3,949.62 to 14 workers.
- Manleys Ltd, Belfast, neglected to pay £3,797.83 to 3 workers.
- J B Howard and Son Ltd, Leyland, neglected to pay £3,469.96 to 7 workers.
- Mr L Tolman & Mr S Blanchard trading as Mardi Gras Hotel, Blackpool, neglected to pay £3,206.76 to 3 workers.
- Stafforce Personnel Ltd, Rotherham, neglected to pay £3,044.79 to 63 workers.
- Best Start Ltd trading as Tiny Treasures Day Care Nursery, Birmingham, neglected to pay £2,928.95 to two workers.
- Maybury Automotive Ltd, Woking, neglected to pay £2,670.88 to 2 workers.
- C&R Tyres Ltd, Kelso, neglected to pay £2,261.60 to 3 workers.
- SSE PLC, Perth neglected to pay £2,233.95 to 5 workers.
- Encore Envelopes Ltd, Washington, neglected to pay £2,060.09 to a worker.
- SmileyWorld Ltd, London, neglected to pay £1,729.00 to a worker.
- Mancroft Ltd, Leeds, neglected to pay £1,172.97 to 3 workers.
- Kevin & Bernadette Farrell trading as Derrygonnelly Autos, Enniskillen, neglected to pay £1,690.35 to a worker.
- Delves Food & Wine Stop Ltd trading as Loco, Walsall, neglected to pay £1,152.48 to a worker.
- Webe (Chelmsford) Ltd, Chelmsford, neglected to pay £1,521.98 to 4 workers.
- Gregson Lane Garage Ltd, Preston, neglected to pay £1,431.57 to 2 workers.
- Ms Julie Ann Wright trading as The Worx, Portadown, neglected to pay £1,110.60 to a worker.
- Mr S Partridge & Ms M Shead trading as Cobblers Fine Sandwiches & Pastries, Wakefield, neglected to pay £1,003.83 to a worker.
- Mr Phillip Campbell & Mrs Lorraine Campbell trading as Supervalu Kells, Ballymena, neglected to pay £905.86 to 2 workers.
- Mr C Pask trading as Pask Hair & Beauty, Derby, neglected to pay £900.00 to 2 workers.
- J&G Salon Ltd trading as Jealousi & Garlands, Tamworth, neglected to pay £881.28 to a worker.
- Faster Fit Tyres Ltd, Scunthorpe, neglected to pay £719.30 to a worker.
- Mrs Karen Aitken trading as Angel Hair Design, Darlington, neglected to pay £703.33 to a worker.
- Clearshot Ltd, Manchester, neglected to pay £684.94 to a worker.
- Everest Express Ltd, Lincoln, neglected to pay £657.03 to a worker.
- Leisure Emporium Ltd trading as Brown’s Cafe Bar & Bistro, Nottingham, neglected to pay £643.86 to a worker.
- Mrs S Walker trading as Alleyways Fish & Chips, Scarborough, neglected to pay £601.59 to a worker.
- Gary & Toni Valentine trading as The Harbour Inn, Seaton, neglected to pay £584.42 to a worker.
- Shreeji Barnsley Ltd trading as Coffee Delight, Buxton, neglected to pay £555.70 to a worker.
- Rowe Sparkes Solicitors Ltd, Southsea, neglected to pay £530.96 to a worker.
- Fish Hairdressing Company Ltd, trading as Fish Hairdressing, Maidstone neglected to pay £521.82 to 3 workers.
- Mrs Deborah Adcock trading as LJ Beauty & Hair, Seaham, neglected to pay £463.60 to a worker.
- D&D Dies Ltd, Nottingham, neglected to pay £446.37 to a worker.
- G Joynson, D Joynson and C Joynson trading as Headquarters, Withernsea, neglected to pay £430.07 to a worker.
- Matchesfashion Ltd, London, neglected to pay £375.61 to 2 workers.
- Colin Saich trading as Lindcoly Kennels, Bury St. Edmunds, neglected to pay £338.41 to 9 workers.
- Inn2inns Ltd, Middlesbrough, neglected to pay £323.10 to 2 workers.
- 99p Land Ltd, Swindon, neglected to pay £315.26 to a worker.
- General Tarleton Ltd, Knaresborough, neglected to pay £300.62 to 6 workers.
- Western Computer Group Ltd, Bristol, neglected to pay £287.54 to a worker.
- Matrix Electrical Engineering Ltd, Harlow neglected to pay £286.60 to a worker.
- Honeybees Childcare Ltd, Preston, neglected to pay £276.30 to a worker.
- Mr G J Pearce trading as Sheppards Wood Service Station, Nottingham, neglected to pay £268.56 to a worker.
- The Mirrors Ltd, Manchester, neglected to pay £262.87 to a worker.
- A1 Techsol Ltd, Manchester, neglected to pay £233.47 to a worker.
- Mrs J Cole trading as Rayleigh Retreat, Rayleigh £231.73 to a worker.
- Hamlet Homes Properties Ltd, Westcliff-on-Sea neglected to pay £226.40 to a worker.
- Smartmove Property Specialists Ltd, Aldershot, neglected to pay £206.36 to a worker.
- EYFS Ltd trading as Oak Tree Day Nursery, London, neglected to pay £181.41 to a worker.
- Mr & Mrs P Munn trading as Merry Maids of the Weald, Tonbridge, neglected to pay £169.56 to a worker.
- Mr H Singleton trading as Willowbank Builders, Huddersfield, neglected to pay £163.89 to a worker.
- Professional Referral Services Ltd, Wigan, neglected to pay £156.93 to 2 workers.
- Amtec Computer Corporation Ltd, Ferndown, neglected to pay £149.64 to a worker.
- Lychgate Coffee Ltd, Wolverhampton, neglected to pay £124.39 to a worker.
- Finite International Logistics Ltd, Penarth, neglected to pay £119.92 to a worker.
- Drummonds Ltd, Manchester, neglected to pay £113.58 to a worker.
- Grove Mechanical Services Ltd, Magherafelt, neglected to pay £107.00 to 2 workers.
- Lin Chinese Takeaway Ltd, Stoke-on-Trent, neglected to pay £103.00 to a worker.
- Mr Assad Madani trading as Donapapa Pizza, Durham, neglected to pay £101.64 a worker.
The current National Minimum Wage rates are:
Adult rate (21 and over) – £6.50 per hour
18-20 year olds – £5.13 per hour
16-17 year olds – £3.79 per hour
Apprentice rate – £2.73 per hour
The apprentice rate applies to apprentices aged 16-18 and those aged 19 and over who are in their first year. All other apprentices are entitled to the National Minimum Wage rate for their age.
Source – Northern Echo, 24 Feb 2014
Officials have agreed not to pursue dozens of ex-miners who had not paid enough tax, says a miners’ leader.
Her Majesty’s Revenue and Customs (HMRC) launched an investigation after Durham Miners’ Association raised concerns about the number of members who had been issued with demands for underpayment of tax.
Some members were told they owed as much as £2,000.
HMRC concluded that the underpayments had arisen because assumption had been made in relation to how much contribution-based Employment Support Allowance former miners had received.
The figures were too low which meant there was an underpayment of tax.
Alan Cummings, chairman of Durham Miners’ Association, said he held discussions with senior tax office staff regarding the underpayment and it was agreed that HMRC would not pursue the money owed in these cases.
Mr Cummings said the demands had come as a shock to former miners, many of whom were on low incomes and would have faced hardship through no fault of their own had they had to pay.
He added: “This has caused a lock of shock and concern among people who aren’t on much money.
“It has affected people who are often on particularly low incomes and maybe aren’t in the best of health.
The former miner contacted Easington MP Grahame Morris asking him for help.
Mr Cummings said an article would be included in a forthcoming Durham Miners’ Newsletter requesting members to check that their weekly Employment Support Allowance payments matched the figures that HMRC are using.
The problem appeared to affect former miners who were in receipt of contribution-based employment support allowance and were also receiving a mineworkers’ pension.
Mr Cummings said in previous years tax was taken from the employment support allowance through the PAYE system without problems.
Any member who has already paid the tax underpayment demand should contact Mr Cummings at the area office with their details.
A spokesman for HMRC said they could not comment on individual cases.
Source – Northern Echo, 07 Nov 2014
This article was written by Tom Clark, for The Guardian on Tuesday 4th November 2014
The occupational pensions of MPs, ministers and the prime minister could be classified as welfare spending in the tax transparency statements that George Osborne has promised every taxpayer.
Her Majesty’s Revenue and Customs is writing to millions of tax-paying households with detailed figures on how the government spends their income tax and National Insurance contributions. Welfare is recorded collectively as the single largest expenditure, consuming nearly one pound in every four.
This presentation has been criticised as a politically motivated departure from Treasury officials’ original plan to break down social security into the components paid to different parts of the population, such as elderly, disabled and unemployed people.
By revealing that payments specifically earmarked for the unemployed, for example, represented only 3% of the total, this approach may have set back Osborne’s case for a fresh £12bn in benefit cuts.
Now experts are drawing attention not only to the lack of differentiation in the welfare chunk of spending but also to the inclusion of substantial elements of spending that would not normally be considered welfare at all, notably personal social services and public sector pensions. Even ministerial pensions are likely to be covered.
The Treasury said: “The headings in our tax summaries are based on internationally recognised (UN) definitions.” But in a briefing note published on Tuesday, the Institute for Fiscal Studies detailed how the welfare total included £28.5bn on “personal social services”.
“This is a number that in many analyses one would want to report separately from other welfare spending,” the IFS said. “Unlike other elements of ‘social protection’ it is not a cash transfer payment and in many ways has more in common with spending on health than spending on social security benefits.
“Another £20bn of the spending counted under welfare is pensions to older people other than state pensions. That includes spending on public sector pensions – to retired nurses, soldiers and so on. This is not spending that would normally be classed as welfare.”
Declan Gaffney, a social security researcher, said the inclusion of public sector pensions was bizarre.
“The Treasury needs to clarify exactly how it arrived at these figures, and publish the workings – spelling out exactly whose pensions it included. Does it, for example, include MPs and the prime minister himself?”
Gaffney has used IFS tables to calculate a more conventional figure for total welfare less state pension expenditure, and concludes that the government’s choice of definition inflates the published welfare spending total by around 40%.
The Treasury did not respond to a question about whether the pensions of MPs, ministers and the prime minister would be classified as welfare.
A spokesman for PCS, the civil service union, said:
“Tens of thousands of civil servants work hard to deliver social security support and they know how important and necessary it is. For their pensions to be hijacked as part of the government’s latest political attack on our welfare state is absolutely disgusting and it exposes just how far ministers will go to poison the well of public opinion.”
Source – Welfare Weekly, 04 Nov 2014
A construction firm has been named and shamed by the Government for not paying its staff the minimum wage.
A2ZEE, based in Cramlington, was exposed in a list of 25 businesses across the country.
It is claimed the firm, which has its base on Dewley Court and specialises in joinery, owes 14 staff £3,375.51.
The TUC has branded the practice “immoral” and has called on Her Majesty’s Revenue and Customs to be handed more money to catch wage dodgers.
The list is the biggest published by the Government since it announced a crackdown on employers who fail to pay their staff the legal minimum last year.
Between the list of 25, it is said the firms owe employees more than £43,000 in arrears, and face fines of over £21,000.
The minimum wage rate is set at £6.31 an hour though living wage campaigners say it should be £7.65.
Elsewhere Steven Stainton, of Steven Stainton Joinery, in Cumbria’s Cockermouth, neglected to pay £1,415 to a worker.
The largest amount a UK company failed to pay its workers was the £7,310 a North West firm failed to pay three of its workers.
TUC general secretary Frances O’Grady praised the Government for exposing the firms.
She said: “Under-paying your lowest paid staff is immoral and illegal. Employers caught in the act deserve to be fined and have their reputation ruined.
“This should send a clear message that dodging the minimum wage does not pay. All minimum wage cheats should be named and shamed, and HMRC need greater resources to catch even more crooks.”
The Government also plans to increase fines, so that an employer underpaying 10 workers could face fines of up to £200,000.
Business Minister Jenny Willott encouraged workers to get in touch with officials if they suspected employers were short-changing them.
She said: “Paying less than the minimum wage is not only wrong, it’s illegal. If employers break the law they need to know that they will face tough consequences.
“Any worker who is entitled to the minimum wage should receive it.
“If anyone suspects they are not being paid the wage they are legally entitled to they should call the Pay and Work Rights helpline on 0800 917 2368.”
The Journal was not able to contact anyone at A2ZEE for a comment yesterday.
Source – Newcastle Journal, 09 June 2014