Skip to content
City PM
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Opinion
  • DE
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Opinion
  • DE
Monday 15 August 2016 2:21 pm

Sports Direct agrees to pay back workers £1m

By: Helen Cahill

Add as a preferred source on Google

Workers who were paid less than the national minimum wage at Sports Direct's Shirebrook warehouse will receive a pay back from the company worth an estimated £1m.

The retailer was under investigation by HM Revenue and Customs (HMRC) for failing to pay warehouse workers the national minimum wage. Workers were not paid for waiting at security checks before being allowed to leave the warehouse.

Read more: Four of the most jaw-dropping working practices at Sports Direct

The payments – thought to begin at the end of this month – will be back dated to May 2012; some workers may receive up to £1,000, according to Unite union.

An HMRC spokesperson said: "While we don't discuss individual cases we won't accept anything less than what's owed. Our role is to investigate all cases where we believe an employer is not paying its workers the national minimum wage to ensure those workers receive what they are owed under the law."

Sports Direct's owner Mike Ashley admitted he had paid workers less than the minimum wage in a hearing conducted by the Business, Innovation and Skills (BIS) select committee, and said he could not control his company. 

Despite thanking Ashley for his honesty, the MPs on the BIS select committee later slammed the retail tycoon in a report that described the working conditions for his staff as "Victorian" and exposed some of the jaw-dropping practices at the company's warehouse.

Read more: Here's the most shocking testimony from the workers at Sports Direct

Workers' testimony showed how some people were fired while off sick, and forced to work after hours without being paid.   

Steve Turner, assistant general secretary at Unite described the pay back agreement as "a significant victory" for the trade union, but that "the charge of 'Victorian' work practices will continue to weigh heavily on Sports Direct".

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business

Trending Articles

  • Citroën 2CV returns as a £13,000 electric car, and the timing is no accident

  • The former African gold miner taking on the billionaire Issa brothers

  • Music tycoon Simon Cowell sued by prominent City lawyer

  • Exclusive: Big Four giant KPMG to cut more jobs

  • Easyjet proves too tempting a bargain for gatecrasher Apollo

More from City PM

  • Starmer ally defends minimum wage quango after Sunak calls for it to be axed

    Economics
    Labour's Pat McFadden could oversee small welfare reforms that could make reasonable savings for public finances.
  • It’s time to scrap the Equality Act

    Opinion
    LONDON, ENGLAND - JANUARY 19: A statue of the Scales of Justice stands above the Old Bailey on January 19, 2021 in London, England. Criminal watchdogs representing England and Wales have expressed concern over the backlog of cases, caused by the Coronavirus pandemic. Figures have revealed that the backlog of unheard cases in the crown courts has reached 54,000. (Photo by Dan Kitwood/Getty Images)
  • Jobs crisis: UK unemployment to hit highest level in a decade

    Business
    London office workers collaborating on AI and tech projects, surrounded by computers and digital interfaces in a modern wo...
  • The fallacy of blaming rich footballers for inequality

    Opinion
    Cristiano Ronaldo celebrates a goal during the 2026 World Cup match on June 17, showcasing his iconic jersey and skills.
  • Legal & General handles King’s staff pension schemes as monarch’s £13m tax bill revealed

    News
  • ‘Fantasy land’: AO World boss blasts Labour over employment costs

    Retail
    AO World is headquartered in Bolton.
  • Freddie’s Flowers losses double after firm shuts London warehouse

    Retail
    Freddies Flowers vibrant floral arrangement highlighting diverse blooms in a stunning display for a business spotlight fea...
  • Gousto puts 290 jobs at risk in warehouse closure 

    Retail
    Gousto increased its sales in 2024.

City PM — European politics, business and analysis.

Europe

  • Germany
  • France
  • Europe
  • UK & Ireland

Topics

  • Business
  • Markets
  • AI
  • Technology
  • Opinion
  • Energy

More

  • Politics
  • Economics
  • Fintech
  • Legal
  • Sport
  • Life

Company

  • About City PM
  • Editorial Policy
  • Corrections
  • Contact
  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2026 City PM · Published by CityPM Media, Bahnhofstrasse 65, 8001 Zürich, Switzerland
About · Editorial Policy · Corrections · Contact · Privacy · Facebook