Sheffield councillor voices concerns over hospital that underpaid staff

Staff underpaid by £24,165 - firm points to payroll issues

A Sheffield councillor has criticised a city private hospital that had failed to pay staff the national minimum wage.

Sheffield City Council member Minesh Parekh approached Spire Claremont Hospital in Crosspool, part of his Crookes and Crosspool ward, after the government’s Fair Work Agency found that the firm had underpaid 102 workers a collective £24,165.04 as they had not received the national minimum wage.

The current rates are £12.71 per hour for workers aged 21 and over, £10.85 for those aged 18 to 20 and £8 for under-18s.

The company said in a letter to Coun Parekh that the problem was related to historic payroll issues that has now been rectified.

Hospital director Tim Smith said in his letter: “We apologised to all affected employees for this historical error and reimbursed them accordingly last year.

Councillor Minesh Parekh is calling on Sheffield City Council to ensure all companies pay staff properlyplaceholder image
Councillor Minesh Parekh is calling on Sheffield City Council to ensure all companies pay staff properly | Iconic Media

“Following this, HMRC [HM Revenue and Customs] closed its case against the hospital in March 2025.

“I would like to reassure you that Spire Claremont Hospital and all our hospitals pay the national minimum wage.

“In fact, we pay the highest rate of the NMW, irrespective of the age of the individual employee.”

Coun Parekh says he remains concerned for city workers who are facing similar issues.

He asked at Sheffield Council’s full council meeting in November for the authority’s organisation ‘Business Sheffield’ to contact firms that are not paying the correct rate and help to rectify their organisational failings.

Councillor Ben Miskell, chair of the economic development, skills and culture policy committee, agreed that would happen.

Coun Parekh said: “Spire Claremont Hospital failed to pay 102 members of staff the legal minimum wage. That is incredibly disappointing.

“The national minimum wage is one of workers’ most basic protections. It’s a minimum for a reason.”

He added: “Employers are more likely to fail in their duties or breach the national minimum wage when workers don’t have a strong voice, when employers won’t engage with their unions or involve them in decision-making.”

Coun Miskell said: “It is outrageous that some businesses have failed to pay their workers the national minimum wage.

“We know that the vast majority of businesses stick to the rules and want to see enforcement action against those that don’t.”

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