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Five care homes named for not paying the minimum wage

Five care home providers have been named and shamed by HMRC for breaking national minimum wage law.

The shamed homes are:

  • Methodist Homes, Derby, DE1, failed to pay £29244.25 to six workers
  • Millenium Care Ltd, Neath Port Talbot, SA11, failed to pay £28871.77 to 40 workers
  • Chasewood Care Limited – Liquidation 16 August 2018, Nuneaton and Bedworth, CV7, failed to pay £2023.43 to 80 workers
  • Bankfield Residential Care Limited – Dissolved 18 September 2018, Bury, BL9, failed to pay £1785.09 to 40 workers
  • K & A Care Limited, trading as Granada House Care Home, North Somerset, BS23, failed to pay £695.18 to 11 workers

The care homes are among 191 firms highlighted for breaching pay rules between 2011 and 2018. Named employers have since been made to pay back what they owed, and were fined an additional £3.2 million.

Minimum wage breaches can occur when workers are being paid on or just above the minimum wage rate, and then have deductions from their pay for uniform or accommodation.

The employers named today previously underpaid workers in the following ways:

  • 47 per cent wrongly deducted pay from workers’ wages, including for uniform and expenses
  • 30 per cent failed to pay workers for all the time they had worked, such as when they worked overtime
  • 19 per cent paid the incorrect apprenticeship rate

A significant number of the minimum wage breaches identified today affected those on apprenticeships.

As some minimum wage underpayments are unintentional, updated guidance for employers has been published.  

Workers can access the check your pay website.

In total, £2.1 million was found to be owed to over 34,000 workers during the period in question.

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