Pizza Hut among Edinburgh employers not paying minimum wage

Pizza Hut in St John's Road, Corstorphine, has been named and shamed for not paying minimum wage. Picture: Greg Macvean
Pizza Hut in St John's Road, Corstorphine, has been named and shamed for not paying minimum wage. Picture: Greg Macvean
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THREE Edinburgh employers have been named as failing to pay the minimum wage to members of staff.

Pizza Hut in St John’s Road, Corstorphine, failed to pay £309 to 13 employees, according to statistics released by the UK Department of Business Innovation and Skills.

Khushi’s restaurant in Antigua Street, at the top of Leith Walk, failed to pay £564 to one employee.

And Charlie Miller Hairdressing in Stafford Street failed to pay £529 to one employee.

They were among 92 companies named by the department as owing a total of £1,873,712 in arrears to staff.

SEE ALSO: 10 Scottish firms named and shamed over wages

Khushi’s owner Islam Mohammed explained his business’s inclusion on the list, saying one person’s hours had been miscalculated because he was working a split shift and the issue had since been resolved.

“It was a misunderstanding,” he said. “It was amicably sorted out in the end. Everyone we employ is paid the minimum wage or more.”

And Josh Miller, joint managing director of Charlie Miller, said their case had involved a genuine mistake over the rate which an apprentice should have been paid.

He said the woman had already obtained an SVQ qualification although she was still being trained. “I thought wrongly we were still able to pay her the apprentice rate as opposed to the full rate.

“I sought clarification from the national minimum wage inspector and they gave me information which led me to believe we were doing the correct thing.

“But after she left she contacted the national minimum wage people and I got a letter saying she should have had the full rate.”

He said she had been paid the due amount straight away.

“We made an honest mistake, which we put right, yet we still find ourselves being named and shamed. I think the fact we are on this list is unfair and frankly disgusting.”

Since the national minimum wage was introduced in October 2013, 490 employers have been named and shamed, with total arrears of over £3 million and total penalties of over £1,100,000.

Sectors involved include hairdressing, social care, hospitality and security services.

UK Business Minister Nick Boles said: “There is no excuse for not paying staff the wages they’re entitled to.

“Our policy of naming and shaming employers who ignore the law means there are consequences for their reputation as well as their wallets.”

The minimum wage is currently £6.70 per hour for adults, £5.30 per hour for 18 to 20-year-olds, £3.87 per hour for 16 to 17-year-olds and £3.30 per hour for apprentices.

From April 1, the UK government’s new so-called National Living Wage will mean workers aged 25 or over who are not in the first year of an apprenticeship will be legally entitled to at least £7.20 per hour.

ian.swanson@edinburghnews.com