A BUSINESS based in Darlington has explained why it failed to pay £34,738.83 to 355 workers over a six year period.

The Feel Good Group Limited, which trades as The Tanning Shop, was subject to a minimum wage audit from April 2012 to December 2018.

It was one of eight businesses in the North East to have been named and shamed by the Government for failing to pay their employees the minimum wage.

Read more: The North East businesses named and shamed for not paying minimum wage

These businesses have since had to pay back what they owe to staff and also face significant financial penalties of up to 200 per cent of what was owed, which are paid to the Government.

The investigations by Her Majesty’s Revenue and Customs concluded between 2014 and 2019.

A spokesman for The Feel Good Group said it has a policy to pay all staff at least minimum wage but it breached the rules due to a technical issue regarding the deduction of a petty cash float and training expenses.

The spokesman said: “At no point did the company believe they were breaching minimum wage rules, cooperated openly with HMRC throughout the audit and have changed any policy’s that were not compliant.

“We are committed to ensuring all staff are paid a fair wage.”

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