Over 60,000 workers get £7.3million after bosses break minimum wage rules

MORE than 60,000 UK workers are getting over £7.3million in owed wages after bosses failed to pay the minimum wage.

Around £12.6million has also been paid in penalties by 389 employers for breaking the rules, the Government has announced.

Businesses in sectors including social care, sports and retail were among those failing to comply with minimum wage laws.

Among those affected were 11,598 workers at facilities management provider ISS, 9,056 at Busy Bees Nurseries, 8,810 at healthcare company Bupa and 2,759 at Costa Coffee.

Overall, 99.5% of workers have been repaid in full already, while action to enforce repayment is still underway for some cases.

It comes as the minimum wage for those aged 21 and over – known as the National Living Wage – will go up by 50p to £12.71 from April 1.

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It will bump the average salary of a minimum wage worker from £25,397 to £26,437 a year, giving them an extra £1,040, based on a 40-hour working week.

Meanwhile, 18 to 20-year-olds will see their pay increase by 8.5% from £10 to £10.85 an hour.

And the National Minimum Wage for 16 to 17-year-olds and apprentices will be up by 6% from £7.55 to £8 per hour.

Business Secretary Peter Kyle said: “The vast majority of businesses in this country do the right thing by paying their staff properly and playing by the rules.

“It’s not fair on them when others are able to get ahead by not paying the wages their workers are owed.”

Employment rights minister Kate Dearden added: “Nobody should finish a week’s work and find they’ve been paid less than they’ve earned. I believe in a fair day’s pay for a fair day’s work.

“That’s why we’re cracking down on employers who underpay. We’re making sure workers get the hard earned pay they deserve.

“I encourage every employer to check their payroll to ensure they don’t get caught out.”

How to check if YOU have been underpaid

There are several reasons why you might not be receiving the minimum wage, despite it being illegal for employers to underpay.

One common issue is unpaid working time, which can lower your hourly rate below the legal minimum.

This includes tasks like overtime, training hours, or being asked to arrive early for shifts.

Your employer might fail to increase your pay when rates rise every April or neglect to adjust your salary if you move into a higher wage bracket as you get older.

Even having to purchase a uniform for work can reduce your earnings to below the minimum wage.

If you think you’ve been underpaid, visit gov.uk/checkyourpay to find out more about what you can do.

An ISS spokesperson said a review of its compliance with the rules found there were “unintentional errors” in the way it calculated pay for current and former workers between September 2017 and September 2023.

They added: “During 2023, we contacted affected employees and former employees to arrange remediation. We have taken action to ensure future compliance with appropriate working practices.”

A Bupa spokesperson said: “In 2019, HMRC informed us of a historic underpayment made to a subset of our frontline colleagues relating to items such as uniforms, footwear and accommodation.

“This arose from an unintentional technical issue that was swiftly resolved, with all affected colleagues reimbursed.

“Our people are at the heart of our business, for whom we invest significantly in fair pay and benefits for our frontline teams.”

A Busy Bees spokesperson said: “As soon as we became aware of these inadvertent errors in 2022, we immediately worked with HMRC to fully resolve the matter with the colleagues affected.

“We apologised to all those affected at the time and have since continued to strengthen our processes and support for colleagues in this area.”

The Sun also contacted Costa Coffee for comment.