Overview
- The government published a naming list this week that identified 658 employers who underpaid workers, ordering about £4 million returned to more than 27,000 people and issuing £7 million in penalties.
- The Fair Work Agency, created in April under the Employment Rights Act, is driving the action while HM Revenue and Customs carried out many of the investigations and enforced minimum wage compliance on the agency’s behalf.
- Household names on the list include B&Q, Tesco, Whitbread, Five Guys, Serco and several NHS trusts, with the largest single reported shortfall at B&Q of roughly £456,000 owed to over 4,500 staff.
- Many employers told reporters the breaches came from payroll or technical errors—such as rules on geographic allowances, salary‑sacrifice arrangements, uniform costs or accommodation offsets—and said affected workers have been repaid or issues fixed.
- Ministers say naming rounds will be published more often and the FWA may widen enforcement to holiday and sick pay, a move that could force faster payroll reviews, greater compliance costs and reputational risk for firms.