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Three Football Clubs 'shamed' For Underpaying Staff

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http://www.bbc.co.uk/news/uk-scotland-42269482

 

Three football clubs 'shamed' for underpaying staff

 

7 hours ago

 

Motherwell, Greenock Morton and Falkirk football clubs all had to refund workers who were underpaid

 

Three Scottish football clubs have been "named and shamed" for underpaying staff.

Motherwell, Greenock Morton and Falkirk were on a list of employers not paying the minimum wage.

 

A list of 28 employers breaching pay rules north of the border was released by the UK government in its campaign to force employers to pay workers properly.

 

Those companies had to refund a total of £116,697 to 92 Scottish workers.

 

It was the 13th time such a list has been compiled, and this year saw more workers receive payments than in previous years.

Across the UK, a total of £1.7m in back pay was given to 16,000 workers.

 

Fines totalling £1.3m for underpaying the National Minimum Wage and National Living Wage rate were handed out to 260 employers, with retail, hospitality and hairdressing being the most prolific sectors named.

 

Employers often underpaid staff for reasons such as failing to pay workers travelling between jobs, deducting money from pay for uniforms and not paying for overtime.

 

'Every pound counts'

 

Motherwell FC failed to pay £2,755.34 to 12 workers, with Greenock Morton FC keeping £2,382.46 from six members of staff.

 

Falkirk FC had to pay back nearly £495 owed to one worker.

 

The report comes from the UK government's Department for Business, Energy and Industrial Strategy (BEIS).

 

A spokesman for Motherwell Football Club said: "The club received an assessment from HM Revenue and Customs in May this year.

 

"It stated that the club had failed to pay the minimum wage to a very small number of employees.

 

"This was an administrative error on the club's part. The amount outstanding was immediately paid to employees in full."

 

Minister for Scotland Lord Duncan said: "We simply will not stand by while companies diddle workers out of their pay.

"Particularly at this time of year, every pound in workers' pockets counts.

 

"The National Living Wage was established to ensure that everyone, everywhere, receives a decent income.

 

"It is unacceptable that some companies in Scotland still think they can get away with underpaying their staff."

 

 

The 28 Scottish firms named are:

 

1. Motherwell Football and Athletic Club Limited, trading as Motherwell FC - failed to pay £2,755.34 to 12 workers.

2. Greenock Morton Football Club Limited trading as Greenock Morton FC - failed to pay £2,382.46 to six workers.

3. Falkirk Football and Athletic Club, trading as Falkirk Athletic FC - failed to pay £494.51 to 1 worker.

4. Edward Mackay Contractor Ltd - failed to pay £51,403.65 to four workers.

5. D MacGillivray & Co Ltd, Western Isles - failed to pay £11,656.93 to 11 workers.

6. Global Voices Ltd, Stirling - failed to pay £8,026.13 to four workers.

7. Crook & Crook Limited, Inverness - failed to pay £5,726.77 to two workers.

8. Northumberland Hotel LLP trading as The Northumberland Hotel, Edinburgh - failed to pay £4,685.39 to two workers.

9. Salon Syndicate Limited trading as Shapes, Edinburgh - failed to pay £4,111.12 to four workers.

10. Mrs Rena Muir trading as TRC Hair Design, Renfrewshire - failed to pay £3,315.07 to one worker.

11. Mr Dhimiter Arkelaos trading as Handy Andy Car Wash, Renfrewshire - failed to pay £2,852.76 to two workers.

12. G3rry Limited trading as Hughes Chemist, Glasgow - failed to pay £2,423.74 to two workers.

13. The Holiday and Flight Centre Limited, South Lanarkshire - failed to pay £2,242.08 to one worker.

14. Moorlands Travel (Kelty) Limited, Fife - failed to pay £2,110.8 to two workers.

15. Annandale Bed and Bath Service Limited, Dumfries and Galloway - failed to pay £1,803.22 to three workers.

16. Influence Conditioned Air Limited, Glasgow - failed to pay £1,551.32 to one worker.

17. Hillfoot Homes Limited, Clackmannanshire - failed to pay £1,439.36 to two workers.

18. Mrs Therese McMonagle trading as Teri's Hair Salon, South Ayrshire - failed to pay £1,408.92 to two workers.

19. BM&AA Soluction Limited trading as A & K Hair Design, Edinburgh - failed to pay £1,172.83 to one worker.

20. Philosophi Limited, Glasgow - failed to pay £1,012.49 to one worker.

21. B & E Travel Limited trading as Barrhead Travel, Fife - failed to pay £994.56 to one worker.

22. May's @ The Hollybush Ltd trading as The Hollybush Inn, East Ayrshire - failed to pay £935.81 to one worker.

23. Arran Brew Ltd, North Ayrshire - failed to pay £872.77 to two workers.

24. Mrs Lynne McCullough trading as Lynne Capelli Salon, West Dunbartonshire - failed to pay £620.65 to three workers.

25. G.S. Associates (Scotland) Limited, Renfrewshire - failed to pay £241.20 to one worker.

26. The Nail and Beauty Zone Limited, Edinburgh - failed to pay £170.59 to four workers.

27. S.W. Enviro Limited, West Lothian - failed to pay £146.43 to two workers.

28. Irqa Spicy Food Ltd trading as Nosheen Tandoori, Aberdeenshire - failed to pay £140.07 to four workers.

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Fortunately (or not for employees involved) this seems to only address this year. The club hasn't paid all it's employees minimum wage for numerous years. Going back a decade to 2008 at the very least.

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Very embarrassing and poor to blame on administrative error every company knows minimum wage structure so imo poor excuse

It doesn't sound good and it isn't but I'd like to hear the club's explanation first. Do you know for a fact that it wasn't an administrative error? Most though not all companies know minimum wage legislation but do all their employees? There is something wrong with the regulatory process operated by HMRC (probably due to under resourcing) if employers are allowed to underpay employees for a full year before being taken up for it. A bit like the Police saying we can't stop someone in the act of committing a crime we have to wait until they have finished doing it.

 

As far as the club is concerned it can now afford to pay its lowest paid employees a little more and it should. It should also release a statement to explain what has happened.

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Some of the players last season did not deserve any wages never mind minimum wage!!!!

But on a more serious note this is embarrassing for the club and administration errors should not happen when staff are concerned and no doubt these will be the people who need it most.

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But on a more serious note this is embarrassing for the club and administration errors should not happen when staff are concerned and no doubt these will be the people who need it most.

They shouldn't but they do. That said, how many organisations have never made a single pay related administrative error? As its a central government department in HMRC, that released the information I'll use a central goverment example to underpin my point. My first permanent job was with the Civil Service. Due to an administrative error, they missed my first pay and I had to wait for 9 weeks for it. Ironically my last pay was with local government and I had to wait some 6 months for them to rectify an administrative error which cost me quite a bit of cash. Administrative mistakes will always happen.

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Also a bit weird/sad that none of the 12 noticed and got it sorted at the time... if you're getting paid peanuts, every penny counts. (Unless they did notice, and MFC aren't being entirely truthful about not having done so until HMRC pointed it out.)

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Unless they did notice, and MFC aren't being entirely truthful about not having done so until HMRC pointed it out.

If pushed into a yes or no answer would you say that the club has told the truth or not?

 

For my part I'm prepared to believe the club in the absence of any evidence to the contrary.

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Its not that weird if the employees were the lowest paid that their voice would not be heard, its very common, that the supervisors at that tier do not escalate or sort out these issues, management structures should be in place to catch the issue , which isnt an isolated case

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If pushed into a yes or no answer would you say that the club has told the truth or not?

 

For my part I'm prepared to believe the club in the absence of any evidence to the contrary.

 

Not. As I said early, this is only the first time they have been found out.

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If pushed into a yes or no answer would you say that the club has told the truth or not?

 

For my part I'm prepared to believe the club in the absence of any evidence to the contrary.

If pushed I'd certainly give them the benefit of the doubt, while still being a bit disappointed that a club I part-own was paying anyone the bare minimum they could.

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Very embarrassing and poor to blame on administrative error every company knows minimum wage structure so imo poor excuse

 

The thing is, it doesn't matter who knows what if there is an error. That's what "error" means.

 

Last year, my company made an administrative error in reporting tax for employees in our Connecticut office but lived in New York. The mistake was made by a 3rd party payroll company whose entire job consists of paying people and managing deductions.

 

It took them 8 months to fix.

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If pushed I'd certainly give them the benefit of the doubt, while still being a bit disappointed that a club I part-own was paying anyone the bare minimum they could.

 

I agree with that. I'd rather we paid a living wage to everyone rather then minimum wage.

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Non-story. HMRC highlighted and the club resolved immediately. My Orc loving boss couldn't wait to mention the story upon arrival this morning & it's only been other lodge members who have brought the subject up.

 

Aye, the same ones who watched their then club refuse to pay our sovereign lady who they all swear allegance too! Couldn't make it up

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Thats the biggest disappointment as well as being embarrassing we have to listen to all the old firm fans going on and in about it and after 3 games in a week was looking to an old firm free weekend but wont be now

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As a fan owned club we should be signing up to be an Accredited living wage employer. All employees should be treated with the proper respect, not this mimimum wage pish.

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I make it less than £5 per person a week underpaid. Is that about right? Or is my sums useless tae.

You're right if they were all underpaid by the same amount over the course of a full year. More likely different folk were underpaid by different amounts over different periods of time though, I would guess (but I haven't seen the full report to see if it includes those specifics).

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I make it less than £5 per person a week underpaid. Is that about right? Or is my sums useless tae.

Admirable attempt, but, it's vastly different from the actual events. Club can feel hard done by is the word.

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Admirable attempt, but, it's vastly different from the actual events. Club can feel hard done by is the word.

Interesting comment. Too many folk have been quick to condemn the club without knowing the facts. I'm not saying the club is blameless but lets have the full facts first. It may well be that employee X made a cock up no more no less then again it may not. It happens and I've done it as have millions of others. I suspect that HMRC only check a sample of employers annually and we were one of the few caught out.

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It's actually quite simple.

As a fan owned club we should be leading the way within the community and be signing up to become an 'Accredited' Living Wage employer.

Yes or No ?

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