It’s important that employees are treated fairly by their employers. Laws are in place to ensure that they receive the proper compensation for their work. Compliance with the HMRC in the UK and the WRC in Ireland is compulsory, so it is up to businesses to make sure they keep the appropriate records. These organisations are diligent in monitoring employment conditions through their inspection services, in order to sure the compliance and enforcement of employment rights legislation. Keeping track of things like hours worked and payroll can be the difference between satisfied employees and warning letters, inspections and possible prosecution.
Compliance in Retail and Hospitality
In the retail and hospitality industries, it’s can be more difficult to keep a tab on the required documents, due to the complicated nature of tracking seasonal, temporary, part-time and full-time staff hours. It could be why these industries have been found more likely than others for breaching regulations and being imposed fines. In the majority of cases, worker’s pay was being deducted for uniforms, or they were not receiving pay for not paying for overtime or travel between jobs. Sports Direct and Primark were two guilty offenders, with the retail giants being ‘named and shamed’ amongst 260 total employers released by the HMRC in the UK. Sports Direct failed to pay £167,000 to 383 workers and Primark failed to pay £231,973.12 to 9,735 workers.
“There is no excuse for not paying staff the wages they’re entitled to and the Government will come down hard on businesses that break the rules. That’s why today we are naming hundreds of employers who have been shortchanging their workers and; and to ensure there are consequences for their wallets as well as their reputation, we’ve levied millions in back pay and fines.”
Margot James – UK Business Minister
Should you be worried about non-compliance?
Labour laws don’t discriminate and large corporation are not the only businesses being caught. Small businesses are also being called out by the HMRC and WRC. It is the employer’s responsibility to ensure staff are being treated fairly and being paid according to the laws outlined by these regulations. Luckily, a prosecution is easily avoidable, especially with time and attendance software like Bizimply’s. To avoid hefty fees, not to mention negative publicity, businesses need to ensure they remain compliant. The maintenance of statutory records is a key element of this. Accurate records ensure that employees are being protected, but they also protect the employer from false accusations. It’s imperative to keep track of things like working time, time off or sick leave, and other regulations related to these labour laws.