UK Firms Penalized for Underpayment

UK Firms Penalized for Underpayment

THE WHAT?  More than 500 companies, including Estée Lauder, were targeted by the UK government for failing to pay over 172,000 workers the National Living Wage. This resulted in an order for these employers to repay more than £16 million in unpaid wages plus additional financial penalties.

THE DETAILS  The investigations, conducted by HM Revenue & Customs between 2015 and 2023, revealed that employees were underpaid due to deductions for uniforms, PPE, and other expenses. 

THE WHY?  The naming and shaming of these companies, including high-profile offenders like Estée Lauder, aims to enforce compliance with the UK’s minimum wage laws and ensure fair compensation for workers.

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