When Big Names Fall Short: The Hidden Wage Underpayments at B&Q and Five Guys

Uncovering the Pay Gap: A Closer Look at Underpayment Issues

When you think of iconic British brands like B&Q and Five Guys, images of bustling DIY stores and fast-food counters come to mind. What you might not expect is that these companies were recently named in a government list of firms who underpaid their employees — a practice that's both illegal and morally troubling.

"The shortfalls in payments were unintentional," B&Q stated in its official response. "They relate to calculations involving geographical allowances which are paid in addition to minimum hourly rates."

This isn't just about one or two overlooked paychecks — the scale is staggering. According to the Department for Business and Trade, more than 600 companies were ordered to repay workers over £4 million. That's not just a number; it represents hundreds of individuals whose contributions have gone uncompensated.

The Scope of the Issue: A Glimpse into the Numbers

From NHS trusts to nursing homes and childcare providers, the list includes an array of sectors. The Department for Business and Trade confirmed that underpayments span from 2013 to 2025, highlighting a systemic issue that's been allowed to persist for years.

• B&Q: Owed £456,934.72 to 4,530 workers.
• Five Guys: Owed £54,642.47 to 3,699 staff.
• Epsom and St Helier Hospital Group: Owed £123,331.97 to 75 workers.

But what's particularly striking is how these underpayments were often the result of payroll errors or outdated systems. For instance, B&Q attributed its mistake to geographical allowances — a calculation that should have been straightforward but wasn't.

B&Q's Backstory: A Mistake or a Misstep?

As I delved deeper into B&Q's situation, one thing became clear — while the company claimed these were unintentional errors, it raises critical questions about oversight and accountability. If such mistakes can slip through the cracks at a major retailer with global reach, what does that say about other businesses?

When I spoke with a former B&Q employee who worked in their London store, they mentioned the irregularities in pay reporting — particularly how shifts were sometimes not accurately recorded or calculated. "We were told we'd get paid at the end of our shifts, but the numbers didn't add up," said the individual, who asked to remain anonymous.

"The system was flawed, and people were left confused about their pay,” they added.

This is not just a bureaucratic hiccup — it's a breakdown in the fundamental principle that employees deserve fair compensation for their work.

Five Guys: A Franchise's Payroll Puzzle

Similarly, Five Guys found itself under scrutiny. The fast-casual chain, beloved by many for its burgers and laid-back vibe, was named for underpaying over 3,600 employees a total of more than £54,000. The company said the issue stemmed from technical differences in payroll regulations.

This is where things get complex. For fast-food chains, particularly franchises, there's a long chain of accountability that can easily break down — especially when local managers are handling payrolls without full compliance training or oversight.

Five Guys has since responded, saying they've made all required payments to affected employees and have worked closely with HMRC. Still, the fact that such an issue needed to be flagged by the government suggests there's more to uncover than just a few missteps in payroll processing.

NHS Trusts Under the Spotlight

Perhaps one of the most concerning aspects of this report is how some NHS trusts are included on the list. For example, St George's University Hospitals NHS Foundation Trust in Wandsworth, London, underpaid 55 workers due to salary sacrifice schemes and technical issues.

This revelation is especially poignant when you consider that healthcare workers — those who put their lives on the line for others — are not just entitled to fair pay, but also to be treated with dignity. The fact that some of these employees were underpaid because of administrative errors is a stark reminder of how fragile systems can become.

Why It Matters: Beyond the Numbers

What's really at stake here isn't just the £4 million in wages that were shortchanged — it's the integrity of our workforce. When employees are underpaid, it doesn't just hurt them personally; it affects the morale of entire teams and sends a message to others about how much employers value their staff.

The government's Fair Work Agency was established in April 2026 with a clear mandate: to enforce labor standards and ensure workers are paid fairly. Naming companies like B&Q, Five Guys, and NHS trusts is part of that mission — but it also serves as a wake-up call to businesses across the board.

"Most employers want to do the right thing," said Matthew Taylor, chair of the agency's advisory board. "We will support them to comply, but those who fall short should expect robust enforcement."

This is about more than just compliance — it's about ethics and trust. When companies take shortcuts or ignore regulations, they risk eroding public confidence in their brand.

What Comes Next: A Call for Reform

The government has made clear that it won't be tolerant of underpayment practices — and the penalties are significant. In total, over £7 million in fines were issued to the 658 companies named on the list. But beyond punishment, there's a need for structural changes to ensure that payroll errors don't happen again.

Business Secretary Jonathan Reynolds emphasized the importance of treating employees well, saying, "The best businesses know that looking after your workers isn't just the right thing to do, it's the smart thing to do."

And for employees who have been shortchanged, the government has urged them to reach out to Acas — the Advisory, Conciliation and Arbitration Service — if they need assistance or support.

Final Thoughts: A New Standard for Accountability

The recent revelations about underpayments at major firms like B&Q and Five Guys serve as a powerful reminder that no brand, no matter how well-known, is immune to scrutiny when it comes to labor standards. It's time for companies to take a hard look at their payroll practices — not just because of legal obligations, but because doing the right thing is what builds trust in an increasingly competitive market.

As we continue to see more firms come under the spotlight for missteps in employee compensation, I believe we're witnessing a shift — a growing awareness that accountability isn't just about compliance, it's about culture. And in the end, that's something worth fighting for.