UK clothing manufacturers fined 90,000 pounds for underpaying staff

UK-based garment factory owners have been forced to pay almost 90,000 pounds for non-payment of minimum wage, new data from HMRC shows. Since 2012, an average of 900 pounds has been paid out to 126 factory workers.

The figures show that more than 1,350 pounds has been paid in wage arrears to 10 workers following HMRC investigations into the environmental impact of the fashion industry. One in four investigations found non-payment of the minimum wage, while 14 investigations are ongoing.

Commenting on the figures in a statement, chair of the environmental audit committee, Mary Creagh, said: “‘Made in the UK’ should mean workers are paid at least the minimum wage. It has been 20 years since the introduction of the minimum wage but in our inquiry we heard that under payment is rife and goes hand in hand with a culture of fear and intimidation in the UK’s textile industry.

“This letter adds to the scandalous and growing evidence of workers being criminally underpaid in the UK," Creagh added. "This must stop. We need Government action to end these 19th century practices in 21st century Britain.”

Underpayment ‘rife’ in the textile industry

In November, Creagh wrote to the UK’s ten leading fashion retailers, including Marks and Spencer, Primark, Next, and the Arcadia Group, asking them to submit evidence to the committee’s inquiry into the sustainability of the fashion industry.

In the same month, MPs quizzed those leading fashion retailers about the impact of the 'fast fashion' industry, and how they justified selling clothes with such cheap price tags.

Jamie Beck, from the Arcadia group, said: "These garments aren't designed to be a disposable item, to be bought for [just] a holiday. They're designed to be long- lasting."

Primark's head of ethical trade and environmental sustainability, Paul Lister said: "Primark has never done any significant advertising at all, and that can save us in any year 100 million pounds to 150 million pounds, compared to some of our larger rivals. That goes straight into price. That keeps our pricing low."

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