First Criminal Conviction for Non-payment of Minimum Wage
16th July 2008
HM Revenue & Customs has announced that a Sheffield Butcher’s shop has become the first employer in the United Kingdom to be successfully prosecuted for a deliberate non-payment of the national minimum wage to its employees.
Sheffield Magistrate’s Court found that the owners had set out to conceal their underpayments and had failed to keep adequate records of their employees’ pay. In addition, they had falsified records to convince HMRC Officers that they were compliant with legislative requirements.
The owners were found guilty of various offences under Section 31 of the National Minimum Act 1998. They were ordered to pay a combined amount of over £10,000 in compensation to two former employees and also suffered fines.
The Employment Bill currently going through Parliament proposes even tougher powers for enforcing national minimum wage compliance and further prosecutions are envisaged.
For more information, please contact:
Glasgow: Paul Brown or Michael McLaughlin - tel: 0141 228 8000
Edinburgh: Alan Strain - tel: 0131 226 5541
The information contained in this article is given for general information only and does not constitute legal advice on any specific matter.