Revealed: Sports Direct HAS failed to pay the minimum wage

Last Updated: June 7, 2016By
Sports Direct founder Mike Ashley leaves the Red Lion pub in Westminster to attend a select committee hearing at Portcullis house, London [Image: Carl Court/Getty Images].

Sports Direct founder Mike Ashley leaves the Red Lion pub in Westminster to attend a select committee hearing at Portcullis house, London [Image: Carl Court/Getty Images].

Funny how this comes out on the day Mike Ashley finally makes an appearance, on the record, in front of the Business, Innovation and Skills committee in Parliament, isn’t it?

Mike Ashley’s Sports Direct has agreed with HM Revenue & Customs to compensate its warehouse employees for paying them less than the national minimum wage.

The agreement was revealed by officials from the union Unite, who have been leading a campaign against pay and conditions at the retailer’s warehouse, when they gave evidence to parliament’s business, innovation and skills select committee [today, June 7].

MPs on the business, innovation and skills committee have been locked in a battle to get Ashley to attend parliament to answer their questions on working practices at the firm. He had repeatedly refused, despite the MPs formally issuing him with a summons, while he also taunted committee members by calling them a joke.

However, Ashley, who also owns Newcastle United, backed down over the weekend. MPs had indicated they would proceed with plans to potentially have him found in contempt of parliament and seek to trigger a Commons vote on whether the tycoon is a “fit and proper” person to be running a business.

Source: Sports Direct to compensate workers after failing to pay minimum wage | Business | The Guardian

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3 Comments

  1. Sven Wraight June 7, 2016 at 11:29 am - Reply

    Well, that’s okay, then…

  2. Colin Wilson June 7, 2016 at 4:05 pm - Reply

    They should still start proceedings against him, to let the business community know they mean business themselves.

    They should do the same with all tax dodging owners, seize the companies once they’ve been given fair warning to put their houses in order.

  3. Elspeth Parris June 8, 2016 at 4:58 pm - Reply

    I’m bewildered by cases like this. If the law’s been broken, why isn’t it a police matter? Why does a select comittee have to investigate instead of a police force? And why doesn’t it then go to the CPS for court action?

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