More than 6,800 Belfast workers miss out on National Minimum Wage

HM Revenue and Customs (HMRC) is writing to more than 6,000 employers in the Belfast area to raise awareness about potential pitfalls when it comes to paying staff above the legal threshold and offer practical support to help them get it right.

Some businesses may find themselves failing to fulfil their obligations through mistakes or oversights and the highest-risk sectors identified by HMRC in Belfast are retail, construction, and social care.

The letter will highlight common mistakes made by businesses and signpost them to further support and help with their obligations. It will also contain a checklist for employers to work through, which will help identify any mistakes they are making. HMRC will also offer some employers a free NMW Health Check with one of our experts.

Following compliance work carried out in the 2021–22 financial year, HMRC discovered 6,800 Belfast workers had been underpaid more than £406,000 as some businesses failed to comply with NMW rules. Following the law is important for employers as well as employees as any business failing to comply could ultimately face penalties of up to 200 per cent of their arrears. Businesses found to have underpaid their workers the NMW may also be publicly named.

Marc Gill, director of individuals and small-business compliance at HMRC, said it is important that employers pay the correct minimum wage to their staff.

Due to HMRC’s action last year, employers in Belfast were handed penalties of more than £315,000. Businesses, irrespective of their size, are responsible for paying the correct minimum wage to their staff.

Employers can access support at any time to ensure they are paying the NMW correctly:

• View the online employers’ guide on calculating the minimum wage.
• Contact the Labour Relations Agency helpline on 03300 555 300 for further advice and support.
• Ciew our recorded webinars on various minimum wage topics that can be accessed by clicking this link: https://www.gotostage.com/channel/aec820cc492f4f449f1f319418a346b3.

In 2023, HMRC will be writing to workers in Belfast asking them to report any concerns they may have about being underpaid the NMW.