Five Below’s ‘maniacal focus’ on the customer pays off

DIY retailer B&Q and fast food chain Five Guys are among hundreds of UK companies that have been named by the government for underpaying staff below the legal minimum wage. The Department for Business and Trade ordered over 600 employers to pay affected workers the outstanding wages, returning £4 million to those workers. The firms were also fined a total of £7 million.

B&Q stated that the underpayments were unintentional and resulted from calculations involving geographical allowances. Five Guys blamed technical differences in how payroll regulations were applied. The list of 658 businesses includes various sectors such as shops, restaurants, nurseries, social care providers, and a few NHS trusts. The period of underpayments ranges from 2013 to 2025.

Minimum wage rates vary by age group: £12.71 for staff aged 21 and over, £10.85 for 18 to 20-year-olds, and £8 for those under 18 and apprentices. B&Q underpaid 4,530 workers, totaling more than £456,000. The government listed Epsom and St Helier Hospital Group as owing over £123,000 to 75 workers due to salary sacrifice schemes and technical issues with London weighting allowances. St George's University Hospitals in Wandsworth, London, underpaid 55 workers following a salary sacrifice scheme review.

The government is committed to eliminating the practice of underpaying employees. Business Secretary Jonathan Reynolds emphasized that fair treatment of workers is both the right and smart thing to do. Kate Dearden, the minister for the future of work, stressed that underpaying staff is illegal and vowed to ensure workers' rights are upheld. Employers are encouraged to review their payroll and seek support from Acas if needed.