Two of Scotland’s major hospitality groups have found themselves in the firing line over claims they exploited their workers.
Unite the union accused Macdonald Hotels of conduct tantamount to “wage theft” in which salaried workers were regularly working significantly beyond their contracted hours.
Bryan Simpson, Unite’s officer for the hospitality industry in Scotland, also alleged clubs and pubs chain G1 Group had deducted tips from staff to cover for breakages, spillages and customers running off without paying the bill.
The allegations were made as Mr Simpson gave evidence before MPs on the House of Commons Scottish Affairs Select Committee.
G1’s portfolio includes Forgan’s and Mitchell’s in Broughty Ferry and St Andrews, Underground in Dundee and the Perth Playhouse, while Macdonald Hotels sites include Rusacks in St Andrews.
Unite has launched a Fair Hospitality charter calling for the real living wage of £8.45 to be brought in across the sector, along with an end to what it describes as “discriminatory youth wage rates” and stricter anti-sexual harassment policies.
Mr Simpson said: “The hospitality sector is one of the lowest paid and most precarious industries for workers, with more than 70% earning less than the living wage and a quarter of all employers within the industry using zero-hours contracts.
“This is almost three times larger than the national average.”
A spokesperson for Macdonald Hotels said the group valued its staff.
“We employ over 4,000 people and all are paid at least the minimum wage,” they said.
“We value our employees and if anyone has any specific factual information, we would encourage them to come forward and issues will be rectified accordingly.
“We remain committed to national minimum wage and also national living wage when circumstances allow.”
The Courier contacted G1 Group for comment on Unite’s allegations but no statement was forthcoming.