Derby car wash owner 'shocked' as he denies underpaying workers

This post first appeared on Derby Telegraph. Read the original article.

A Derby business owner has heavily denied claims by the Government that he underpaid workers.

Karwan Kader Hassan has refuted accusations by the Department for Business, Energy and Industrial Strategy that he failed to pay £695.90 to three of his workers.

His business, in Upper Dale Road, is one of 260 other companies around the UK who have been highlighted for apparently failing to pay workers minimum wage and living wage rates. The Government says its latest "named and shamed" list affected 16,000 people.

Mr Hassan said that he was “shocked” to find out that he had been named as not paying his workers at least minimum wage rates and claims he knew nothing about it.

The car wash on Upper Dale Road

The car wash in Upper Dale Road

He said: “I do everything through an accountant and they receive a proper wage slip each month when they work.

“I don’t do this. I want to know where they got the evidence and who the three workers are.

“I really don’t know where this has come from because I pay my VAT. I want to know who I failed to pay but workers come and go here all the time.”

The naming and shaming scheme, which has been running since 2013, says that it identifies employers who are paying less than the minimum wage.

It says common reasons for errors in pay include: failing to pay workers travelling between jobs; deducting money from pay for uniforms; and not paying for overtime.

Government investigators identified £1.7 million in back pay for some of the UK’s lowest paid workers and fined employers £1.3 million for underpayment.

Other employers on the list include Primark and SportsDirect with Government officials saying they will “come down hard on businesses that break the rules”.

Bryan Sanderson, chairman of the Low Pay Commission, said: “The Low Pay Commission’s conversations with employers suggest that the risk of being named is encouraging businesses to focus on compliance.

“Further, it is good to see that HMRC continues to target large employers who have underpaid a large number of workers, as well as cases involving only a few workers, where workers are at risk of the most serious exploitation.

“It is imperative that the Government keeps up the pressure on all employers who commit breaches of minimum wage law.”