Karen Millen to review payroll system following issues in Ireland

By

Barbara Santamaria

Published
May 1, 2019

Karen Millen Ireland has admitted to underpaying “a small number” of staff in last past few months, blaming an issue with its payroll system.

It comes after several existing and former employees claimed they were paid less than they had earned after being put in an incorrect tax band. They also complained of delayed wage payments and in some cases, no holiday pay, reported The Irish Times.

The issues started as far back as October last year, an unnamed employee said, with some deciding to leave the business as a result of the payroll problems.

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A spokesperson for Karen Millen, which has eight stores in Ireland, said: “We have identified some issues in our payroll processes going back to January 2019 which have led to a small number of employees in our Irish stores receiving incorrect pay.

“We take the well-being of our employees very seriously and are also undertaking a detailed and thorough review of our payroll processes to ensure this doesn’t happen again.”

Media reports suggested the issues were linked to a payroll provider, rather than the fashion company itself.

In the year ended 24 February 2018, Karen Millen’s Irish arm reported a 50% fall in pre-tax profits despite a 5% increase in revenue to €5.9 million.

The brand has stores in Dublin, Cork, Galway, Limerick, and Kildare Village, as well as concessions in Brown Thomas and Arnotts.