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The government have quietly exempted scores of rogue firms from being named and shamed over not paying the minimum wage.

Ministers axed a policy of publishing the names of businesses who don't pay the legal minimum.

They have now decided to bring it back but with a major caveat.

Whereas previously any companies that underpay by £100 have been named - that has since been raised to £500.

Businesses that underpay by less than £100 will have the chance to correct their mistakes without being named, still have to pay back workers and can face fines of up to 200% of the arrears.

Shadow Business Secretary Rebecca Long-Bailey said: “There is no justification for employers paying less than the minimum wage, which isn’t even a genuine living wage. Naming and shaming isn't enough — we need to see a crackdown on employers who are breaking the law.

"Far from protecting low paid workers, today's announcement means fewer employers will actually be named and shamed. When you look at the detail, the Tories have found a new way to let unscrupulous bosses off the hook."

(Image: Getty Images)

But exempting firms that have underpaid by less than £500 would have meant that in 2018 - the last year when the scheme was in operation - almost a third of those guilty of underpayment would not have been named.

Business Minister Kelly Tolhurst said: “Anyone who is entitled to the minimum wage should receive it – no ifs, no buts – and we’re cracking down on companies that underpay their workers.

“We also want to make it as easy as possible for employers, especially small businesses and those trying to do right by their staff, to comply with the NMW rules, which is why we’re reforming regulations.”

When the quote was sent out to journalists the second line began with the word "but" which had been crossed out.

In 2018/19 – HMRC identified £24.4m in arrears, for over 220,000 workers and they issued a record amount of penalties (over 1,000) issued, totalling over £17m.