Telecoms companies forced to repay £100,000 in landmark minimum wage case

date: 5 April 2013

embargo: For immediate release

The TUC today (Friday) welcomed the announcement by HM Revenue and Customs (HMRC) that two Telecoms companies are to be forced to repay £100,000, after being found guilty of not paying the national minimum wage.

Axis Telecom Ltd and Servizon Ltd, who are based in Hull, will pay £21, 224 and £75,117 respectively to nearly 200 employees. They will also be charged £5,000 each for breaking the law.

Commenting on the judgement, TUC General Secretary Frances O'Grady said:

'This case shows why we must put more resources into catching minimum wage cheats. Rogue bosses who knowingly set out to underpay their workers must be publicly named and shamed.

'Nearly a million UK workers rely on the national minimum wage, which has become a vital lifeline. There must be no hiding places for companies who flout it.'

NOTES TO EDITORS:

- A summary of HMRC's judgement can be found here: http://tinyurl.com/bsono72

- All TUC press releases can be found at www.tuc.org.uk

- Follow the TUC on Twitter: @tucnews

Contacts:

Media enquiries:
Alex Rossiter T: 020 7467 1337 M: 07887 572130 E: arossiter@tuc.org.uk