Following the news that TGI Fridays and Wagamamas are amongst companies named and shamed for failing to pay the legal minimum wage, employers should take note of the latest increases to NMW and other statutory payments.
From 1 April 2018 the new rates which apply:
In addition, Statutory maternity, paternity, adoption, shared parental pay and maternity allowance will all increase from £140.98 to £145.18 a week, whilst Statutory Sick Pay will increase from £89.35 to £92.05 per week.
In these particular cases, whilst both operators said underpayments related to uniform costs and confirmed back payments have been made, it is important to ensure the right rates are paid to avoid fines of up to 200% of wages owed, over and above the need to compensate workers. The government is clear that this is a red line, with no tolerance shown.
The content of this page is a summary of the law in force at the present time and is not exhaustive, nor does it contain definitive advice. Specialist legal advice should be sought in relation to any queries that may arise.