18:22 15 January 2015
H&M has been named and shamed by the Department for Business, Innovation and Skills for failing to pay minimum wage to 540 workers (totaling at least £177,000). It now faces fines of more than £51,000.
The company told the BBC that there were errors that led to the underpayment of £2,694.87 each. In a statement, the clothes retailer said: The ‘Unfortunately due to errors within some of our stores concerning time logging, 540 employees were accidentally underpaid the national minimum wage.
‘All such arrears were immediately processed and we accept that the errors should not have occurred.’
Meanwhile, Business Minister Jo Swinson said: ‘Paying less than the minimum wage is illegal, immoral and completely unacceptable.
‘If employers break this law they need to know that we will take tough action by naming, shaming and fining them as well as helping workers recover the hundreds of thousands of pounds in pay owed to them.’
Among the companies who were ‘named and shamed’ include Kings Group LLP, Chi Yip Group Ltd, as well as Welcome Break.