Of all those named by the government, the fourth largest underpayment was by pharmacy multiple L Rowland & Company (Retail) Limited, which underpaid a total of £307,342.87 to 2,293 workers. 16th in the list was Day Lewis PLC, which underpaid £82,819.47 to 604 workers.
By virtue of the fact these specific breaches of employment law were in the government report, the employers in question have since paid back what they owe to their staff, and faced financial penalties of up to 200% of the sum they had underpaid. The investigations by His Majesty’s Revenue and Customs (HMRC), which compiled this latest list, concluded between 2015-2022.
On the breaches, Minister for Employment Rights, Justin Madders said:
“There is no excuse for employers to undercut their workers, and we will continue to name companies who break the law and don’t pay their employees what they are owed.
Ensuring workers have the support they need and making sure they receive a fair day’s pay for a fair day’s work is a key commitment in our Plan for Change. This will put more money in working people’s pockets, helping to boost productivity and ending low pay.”
Baroness Philippa Stroud, Chair of the Low Pay Commission, said:
“Underpayment leaves workers out of pocket and disadvantages the majority of employers who do abide by the rules.
These naming rounds play an important part in ensuring that all workers receive their full wages and that they are aware there is support for them to ensure that they do.”
Two other Chemists were also highlighted for underpaying their workers:
- J M McGill Ltd underpaid £38,178.62 to 364 workers and
- H. Wilson (Chemists) limited, trading as Bastwell Pharmacy, underpaid £8,925.53 to 11 workers.
Minimum Wage & Foundation Trainees
The breaches highlighted by government are unlikely to have involved pharmacists, as their rates of pay should be significantly above minimum wage levels. However, the PDA has previously highlighted the risk that some Foundation Trainees could be paid less than the minimum wage if they work beyond their contracted hours; this is especially the case in England. NHS England must properly value trainee pharmacists | The Pharmacists’ Defence Association This remains an active concern and any business employing a foundation trainee should check the actual hourly rate the individual is receiving.
Wider issue of business behaviours
The breach of minimum wage is yet another example of poor business behaviour in the pharmacy sector. The PDA has a wider campaign to call for there to be consequences for decision makers and shareholders when the businesses that they control break employment law, or other laws.
Significant breaches of employment law, or the NHS Terms of Service by pharmacy businesses, may be indicative of overall poor compliance with rules and regulations. Due to this, regulators should be concerned about the conduct of those corporations, and take appropriate action.
Where businesses are funded by the taxpayer, such as in community pharmacy, then the NHS should consider the suitability of that business to continue to hold a contract and provide public services. All such businesses should fear meaningful penalties, up to and including removal of their ability to provide NHS services, if they flout the law or otherwise behave in an inappropriate way. This was subject to a recent PDA motion to a union federation conference. Union federation agrees PDA policy proposals | The Pharmacists’ Defence Association
Learn more
- NHS England must properly value trainee pharmacists | The Pharmacists’ Defence Association
- Over £7.4 million put back in working people’s pockets by employers – GOV.UK
- What is it? | Living Wage Foundation
- National Minimum Wage and National Living Wage rates – GOV.UK (www.gov.uk)
- TUC sets out roadmap to a £15 minimum wage and high wage economy | TUC
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