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| Version 1 | Version 2 |
|---|---|
| Iceland to fight HMRC over wage dispute 'madness' | Iceland to fight HMRC over wage dispute 'madness' |
| (1 day later) | |
| The chief executive and founder of Iceland Foods has described a dispute with HMRC over the company's Christmas savings scheme as "just madness". | The chief executive and founder of Iceland Foods has described a dispute with HMRC over the company's Christmas savings scheme as "just madness". |
| Under the scheme, staff can voluntarily set aside money from their weekly wages and claim it back later. | Under the scheme, staff can voluntarily set aside money from their weekly wages and claim it back later. |
| However, HMRC has told the company the payment means staff are technically falling below the minimum wage. | However, HMRC has told the company the payment means staff are technically falling below the minimum wage. |
| Iceland founder Malcolm Walker intends to fight the HMRC claim, which was first reported in the Times. | Iceland founder Malcolm Walker intends to fight the HMRC claim, which was first reported in the Times. |
| If it loses, the retailer could face a bill of £21m. | If it loses, the retailer could face a bill of £21m. |
| HMRC said it did not comment on individual cases. | HMRC said it did not comment on individual cases. |
| However, the Department for Business, Energy and Industrial Strategy is currently consulting businesses on how salary sacrifice schemes work alongside the National Minimum Wage. | |
| According to Iceland, it has also been told by HMRC that its policy on footwear breaches minimum wage rules as well. | According to Iceland, it has also been told by HMRC that its policy on footwear breaches minimum wage rules as well. |
| HMRC said that staff should be compensated for shoes bought for work, as Iceland had given staff guidance that "sensible shoes" should be worn. | HMRC said that staff should be compensated for shoes bought for work, as Iceland had given staff guidance that "sensible shoes" should be worn. |
| The guideline applies only to staff who work in stores, since warehouse staff are provided with safety shoes. | The guideline applies only to staff who work in stores, since warehouse staff are provided with safety shoes. |