ARGOS has been told to repay £2.4million to more than 37,000 current and former workers.
Staff who were paid below the national living wage before December will receive about £64 each after an investigation by HMRC.
Argos was recently bought by Sainsbury’s and in a letter to staff chief executive John Rogers wrote: ‘After we acquired the Argos business last year it was brought to my attention that, as part of a routine visit, HMRC uncovered an issue with some of our Argos store systems and processes.’
Argos says the underpayments relate to the ‘timings of colleague briefings, which could happen before colleagues had clocked into their shifts and security searches, which could happen after colleagues had clocked out of their shifts’. He said new processes had been introduced to ensure there can be no repeat of the issue.
The underpayment affects 12,000 current employees and more than 25,000 former workers, who will get the money at the end of this month.
The announcement comes after the government named 360 firms for underpaying workers. Debenhams was recently shown to have underpaid 12,000 workers by almost £135,000.