smallbusiness.co.uk: Helping your business think big

British workers were underpaid to the tune of over £3 million by employers paying below the minimum wage last year, with some outrageous excuses offered, according to HM Revenue & Customs (HMRC).

‘They are a total waste of space – they do not deserve it,’ ‘they’re disabled,’ ‘they can’t speak English’ and ‘it’s more than they would get in their own country’ were among the excuses given by employers for paying less than the minimum wage.

‘I didn't think it applied to small employers’ was also claimed by many. In fact, the minimum wage law very much does apply to small businesses, who must make themselves aware that the laws change from October 2006.

From 1 October the minimum wage will increase from £5.05 to £5.35 per hour for those aged over 22, from £4.25 to £4.45 per hour for 18- to 21-year-olds and from £3.00 to £3.30 per hour for 16- to 17-year-olds.

‘[This] shows that there are still some rogue employers out there willing to flout the law,’ said Dawn Primarolo, paymaster general at the Treasury. Most employers are ‘honest and scrupulous’, she said, explaining that HMRC published the list of excuses ‘to remind employers and employees of their rights and responsibilities in relation to the national minimum wage’.

There are currently no comments on this article