Uni ordered to pay back student mentors

Director of Accommodation and Commercial Services, Pat McGrath

The University has been ordered to pay out thousands of pounds to residential mentors who were paid less than the minimum wage, Forge Press can reveal.

Her Majesty’s Revenue and Customs (HMRC) issued the figures after months of investigation, writing to mentors to confirm: “In my opinion, your employer, University of Sheffield … did not pay you at least the national minimum wage.”

One source revealed to Forge Press that they are set to receive approximately £2,000 for less than a year’s worth of work.

The 80 mentors working in the last academic year could all be set to receive similar figures or more, pushing the overall minimum figure to more than £150,000. Payments may also have to be made to all mentors from previous years who have worked under the same system.

The University must now decide whether to appeal the decision at an employment tribunal.

“I don’t look forward to any sort of legal action,” said another residential mentor, who did not wish to be named, “I would much rather avoid it as it’s not conducive to good working relationships.” Having said that, if legal action is the only way to ensure that low-paid members of staff are treated fairly in the workplace then so be it. I believe that people should be treated fairly in the workplace, however large the organisation, so if an organisation has made a mistake it should apologize and rectify the situation immediately – at least if it wants to retain the loyalty and commitment of its staff.”

‘New concerns’

The University has now reclassed all residential mentors as volunteer workers, rather than employees, for the first time this academic year. The number of hours mentors are expected to work has also risen. The law does not require the university to pay voluntary workers the minimum wage.

HMRC are now also beginning to look into this new system over concerns that student voluntary workers are being expected to act like paid employees – but with none of the benefits.

As in previous years, all residential mentors must live on site, either in Endcliffe or Ranmoor student villages or the City Centre campus. As they are required to live there under their contract, the University can also include rent as part of mentors’ wages.

However, national minimum wage laws mean that this ‘accommodation offset’ – the part of an employee’s pay that goes towards their accommodation – cannot be above a certain amount. If an employer charges its staff for accommodation more than the accommodation offset, then their minimum wage is affected. When this accommodation offset was applied to the wages’ of former mentors, their pay fell below the minimum wage.

The University of Sheffield were unable to comment as Forge Press went to print, as the entire Accommodation and Commercial Services department were “on a training day.”

Matthew Denton, Students’ Union Welfare Officer, said: “I think it’s a positive thing that our students can receive the money they’re entitled to by law.”

In 2001, residential officers at Leeds Metropolitan University discovered they were being paid below the minimum wage due to the accommodation offset and struck a repayment deal with University management. Payments ranged from £2,500 to £10,500 for the 21 officers.

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