TWO companies from our area have been named by the Government among a national list of businesses who have failed to pay their workers the minimum wage.
But it turns out that one of them – TopCon Construction Ltd – wasn't obliged to pay their worker at all, as they were on a work placement from college and the company decided to offer some payment out of courtesy.
Mark Rendall-Tyrrell, managing director at TopCon Construction Ltd, said the student from Grimsby Institute had been in on work experience.
Office manager Stephanie Rising said: "He came to us on two weeks' work experience from the Grimsby Institute Of Further Education and fitted in well with the team and was keen to learn.
"He asked if we could keep him on until he went to university, which we agreed, but thought it unfair not to give him something for his time, when we actually had no obligation to pay him.
"As far as we were aware, we were offering further site experience and training prior to him starting his university studies.
"It is our company policy to pay everyone fairly."
Cleethorpes hair salon Cutting Club neglected to pay £835.76 to nine workers, but declined to comment.
The firms were named among 25 employers who failed to pay their workers the National Minimum Wage under the revised naming scheme – introduced in October 2013.
The scheme was revised to make it simpler to name and shame employers that do not comply with minimum wage rules.
Between them they owe workers a total of more than £89,000 in arrears and have been charged financial penalties totalling more than £36,000.
The Government has also introduced a series of tougher measures to crack down on employers that break National Minimum Wage law.
As well as being publicly named and shamed, employers that fail to pay their workers the National Minimum Wage also face penalties of up to £20,000.
The 25 cases named were thoroughly investigated by HM Revenue & Customs after workers made complaints to the free and confidential Pay And Work Rights Helpline.
Employers who are unsure of National Minimum Wage rules can also get free advice via the Pay And Work Rights Helpline on 0800 917 2368 or by visiting www.gov.uk
