Preferred operator for new Dundee waterfront hotel shamed for failing to pay minimum wage

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The planned operator of a new hotel at Dundee waterfront has been named and shamed in a UK Government report on firms which have failed to pay the minimum wage.

Marriott Hotels, which Dundee City Council intends to work with to run a new hotel at Site 6 opposite the V&A, is among 179 employers across the UK named in the latest round of the scheme to expose those who fail to pay the minimum wage, which ranges from £7.50 an hour for over-25s to £4.05 an hour for under-18s and £3.50 for apprentices.

Marriott underpaid 279 of its staff over £250 each on average. The company apologised and said it was committed to paying the minimum wage.

The company has committed to paying staff at its Dundee hotel the living wage, which is more than the minimum wage, according to a report submitted to the council’s City Development committee.

“When an error was identified by a routine HMRC audit in 2015, we co-operated fully with HMRC and promptly reimbursed all those affected,” it said.

More than 200 staff in Scotland were underpaid by 15 firms, losing out on almost £75,000 in wages.

The businesses have now been fined a total of £70,000 and the employees will be paid what they are owed.

The firm named for underpaying the most to the 206 workers affected in Scotland in this round was Heather Park Community Services Limited in Newmains, North Lanarkshire, which failed to pay a total of £26,018.63 to 73 workers.

Pizza delivery and takeaway 1st Pizza Direct in Inverness underpaid 87 staff by a total of £25,668.15 while Citi Dental Surgery in Glasgow owed a total of £8,733.33 to two workers.

Hair and beauty firms, cleaning services and catering were among the other sectors featured.

UK Government Minister for Scotland Lord Duncan said: “It is simply unacceptable for bosses to rip off their staff by not paying at least minimum wage rates. These 15 Scottish employers are breaking the law.

“These fines show just how seriously the UK Government takes this matter.

“Bosses who think that they can get away with short-changing their hardworking staff be warned – the UK Government will name and shame you and hit you in the pocket.”