What happened to ethical management?
Billionaire Philip Green’s Arcadia and eight other firms ordered to pay £200,000 to unpaid interns after investigation by HMRC
Nine leading British companies have been ordered to hand over nearly £200,000 in fines and payouts to interns who had been working for free following a crackdown by Revenue and Customs.
Overall, more than 26,000 workers nationwide denied the minimum wage shared £4million in payments in the last financial year. Fashion giants Arcadia, run by billionaire Sir Philip Green, paid dozens of former interns hundreds of pounds each in back payments last year after a public outcry.
Under the law, people who are given set hours and defined responsibilities are classed as employees and must receive a wage. Hundreds of companies regularly recruit graduate workers without pay and only give them expenses or a small allowance for their efforts.
HMRC looked into 40 cases where employers were accused of using interns as…
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