The BEIS said when a business changes hands the new owner accepts all liabilities including minimum wage underpayments
Businesses in Hampshire have been named by the Government for alleged minimum wage breaches.
The Department for Business (BEIS) published the names of 191 companies who it says failed to pay £2.1 million. According to the BEIS, three of those businesses are located in Hampshire.
Mr Amin Lakhani and Mr Azim Lakhani, trading as Saffronland Homes in Chandler’s Ford, failed to pay £591.05 to 33 workers.
Homebeech Limited in Bognor Regis, run by Chandler’s Ford company Saffronland Homes, failed to pay £785.71 to 59 workers.
A spokesperson from Saffronland Homes and Homebeech said the directors are very disappointed for the company to appear on the list.
Saffronland added: This was a technical oversight resulting in a minimal under payment below national minimum wages for some personnel. The total underpayment from 2012 to 2018 was £591.05, equivalent to £2.99 per person over the period.
Homebeech said: The total underpayment from 2012 to 2018 was £785.71, equivalent to £2.22 per person over the period.
Another business named by the Government was Kate Preston Salons Limited who appeared on the list for allegedly failing to pay £825.63 to four workers.
However, a spokesperson for the company said the issue happened as a result of them purchasing a business in Gosport back in April 2018.
The company say the issue arose when HMRC investigated the former business for a breach of the national minimum wage guidelines. They added: This subsequently involved Kate Preston Salons Limited as some of the staff affected were now employed by the company.
BEIS said when a business changes hands the new owner accepts all liabilities and new ownership would not meet the criteria for exemption from being named.
When a business changes hands, the new owner accepts all liabilities including minimum wage underpayments, it said.
Businesses named by the Government include retail giant John Lewis, which said it was “surprised and disappointed” to be on the list released by the Business Department.