National minimum wage fines a wake-up call for salons
Published
16th Jan 2014
by
rachael
National Minimum Wage fines – of up to £20,000 – should serve as a wake-up call to salons, say the National Hairdressers’ Federation.
The Government has announced that penalties reaching into the thousands, with further possible increases to come, will apply to any employers who break the law and don’t pay their staff according to the National Minimum Wage.
Hairdressing was highlighted last autumn as one of the worst offenders when it came to industries that fail to pay apprentices the correct wage, and salon owners should ensure that they are aware of current legislation to avoid fines.
The NHF have commented that salons therefore need to recognise that the Government is deadly serious about enforcement and should be checking their systems, procedures and payroll as a matter of priority to ensure they are completely compliant regulations.
Chief executive, Hilary Hall, warns: “The Government is making it very clear it will not tolerate employers flouting the law and failing to pay staff their proper national minimum wage.
“Rightly or wrongly, hairdressing already has a bad name for paying below the minimum wage. Failing to pay the wage not only harms the reputation of an individual salon and – now – could cost them dear, it is also deeply damaging to our whole industry.
“Hairdressers must ensure they are sticking absolutely to the letter of paying the wage. NHF standard employee contracts include an obligation that a salon pays the national minimum wage. Membership of the Federation can therefore send out a powerful message to the public and politicians that a salon is reputable, legal and setting the standard for the rest of the industry.
“Finally, as well as enforcement, we’d like to see the government doing more around education and advice. We know from members they often find administering the different minimum wage rates2 to be complex, therefore more support to help small businesses meet their obligations would be welcome.”
Ben Dellicompagni, MD of Francesco Group, has recently been cited by The Department of Business, Innovation and Skills (BIS) as a champion employer for recognising a need to protect low paid workers by complying with the National Minimum Wage regulations. Said Ben: “If you run a business, there is a lot to get your head around. Payroll in particular can be confusing. Despite that, ensuring that your employees are being paid correctly should be at the top of your priority list. Everyone deserves the national minimum wage as a minimum and if you aren’t paying it you are breaking the law. BIS enforces this law and if caught, you will face fines and public naming, which can hit your bottom line hard and even sink a small business.
“For Francesco Group it’s simple, pay your staff correctly and you will ultimately reap the benefits with hard-working staff, motivated teams and a better local and industry reputation. At Francesco Group, we ensure our policies are watertight and strongly recommend you do the same. Without treating our staff properly and showing them respect, we wouldn’t be where we are today.”
HJ’s Facebook followers were very vocal on the subject – here’s what a selection had to say:
Rebecca Bown: About time salon owners cough up and pay!
Kathleen Balshaw: How can you pay someone for NOT bringing in any money. This should not apply to apprentices .
Luisa Fletcher: Remember trainees don't bring money in at an early stage, but someone needs to clean the floor, do the towels, make coffee, sort magazines out, clean the place, so I'm all for this. Shame it didn't happen when I was training, as the peanuts I used to get, weren't even enough for my bills to and from work.
Blanche Mullinger : Apprentices may not bring in any money but if you have a well-run salon you wouldn`t be without them. Apprentices mean you can do more clients as they shampoo, and do the boring blow dries.
Adrian Mark Boardman: Let us not forget as well that with proper training, and correct knowledge, your trainees can shift more shampoo, conditioner, treatments, colours and styling products at a huge rate, because they are interacting with the client while using these products. I used to shift well over £100 of product a week
Emma Andrews The pay in hairdressing is a disgrace. I work freelance because I refuse to slave behind a chair all day for the minimum wage. You can easily make £150 a day freelancing, if you have the skills and experience it makes much more sense.