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Loch Fyne wages 'below minimum' Loch Fyne wages 'below minimum'
(about 9 hours later)
By Martin Shankleman Business correspondent, BBC News The "ethical" fish restaurant group, Loch Fyne, pays staff at rates below the minimum wage, the BBC has learned.
Loch Fyne operates a chain of restaurants across the UKThe "ethical" fish restaurant group, Loch Fyne, pays staff salaries below the minimum wage, the BBC has learned. It relies on customer tips to boost total pay to a lawful level.
It relies on customer tips to boost total pay to a lawful level, along with a growing number of restaurants. Loch Fyne champions marine conservation, and says it is "an enterprise with respect for animals, people and ecology".
Loch Fyne champions marine conservation, and proclaims a corporate philosophy of "an enterprise with respect for animals, people and ecology." The Unite union called the company's behaviour "appalling", and said all restaurant staff should get the minimum wage, as well as a fair share of tips.
The Unite union called the company's behaviour "appalling", and said all restaurant staff should be on a minimum wage salary, as well as getting a fair share of tips. Staff at Loch Fyne Restaurants say they get paid £5.05 an hour, compared with the legal minimum wage of £5.52.
Staff at Loch Fyne Restaurants say they are on a salary of £5.05 an hour , compared with the legal minimum wage of £5.52.
Employee concernsEmployee concerns
One waitress, who wanted to remain anonymous, said she asked about the pay rate at her interview.One waitress, who wanted to remain anonymous, said she asked about the pay rate at her interview.
"Jokingly , I asked, it's not the minimum wage is it? They said well actually it is; eventually you get paid minimum wage, because it gets made up in tips", she said. "Jokingly, I asked, 'it's not the minimum wage is it?' They said 'well actually it is; eventually you get paid minimum wage, because it gets made up in tips'," she said.
On its website the company claims: On its website the company claims: "What sets us apart is our attention to detail and focus on quality. In everything we do, be it building a new restaurant, hiring staff or cooking the food we take huge pride in doing it to the best standard possible."
"What sets us apart is our attention to detail and focus on quality. In everything we do, be it building a new restaurant, hiring staff or cooking the food we take huge pride in doing it to the best standard possible." The waitress said "hardly any customers realise how their tips are used".
The waitress said "hardly any " customers realise how their tips are used." "Many customers shove tips on the (credit) card and think you are going to get it," she complained.
Many customers shove tips on the (credit) card and think you are going to get it, she complained.
Still legalStill legal
Restaurants are legally allowed to include tips in the calculation of employees earnings, but the practise has been criticised as unethical. Restaurants are legally allowed to include tips in the calculation of employees earnings, but the practice has been criticised as unethical.
In a statement, Loch Fyne Restaurants said it observed the British Hospitality Association's guidelines , and "no one is paid below the minimum wage." In a statement, Loch Fyne Restaurants said it observed the British Hospitality Association's guidelines, and "no-one is paid below the minimum wage".
It pointed out that the Loch Fyne Restaurants business is owned by the Greene King brewing group "so it follows its policies." It pointed out that the Loch Fyne Restaurants business was owned by the Greene King brewing group "so it follows its policies".
Unite is pressing the government to alter the rules on the Minimum Wage, to stop restaurants including tips in the calculation of employee earnings, but experts have warned that the area is fraught, and may face a legal challenge. Unite is pressing the government to alter the rules on the minimum wage, to stop restaurants including tips in the calculation of employee earnings.
Loch Fyne Restaurants was set up in 1998, and employs 1200 people in 44 sites across the UK. But experts have warned that the area is fraught, and any changes could lead to a legal challenge.
Last week the BBC revealed that salaries at the Hard Rock Café in London were less than half the minimum wage, with waiters on £2.06 an hour. Loch Fyne Restaurants was set up in 1998, and employs 1,200 people at 44 sites across the UK.
Last week the BBC revealed that staff at the Hard Rock Cafe in London were paid less than half the minimum wage, with waiters on £2.06 an hour.


Do you work at a place which has a similar wage structure? Send us your comments and experiences using the form below.Do you work at a place which has a similar wage structure? Send us your comments and experiences using the form below.
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