WRC slams employer for undermining legally binding pay terms in the security industry.

The Workplace Relations Commission (WRC) has handed down a €63,767 compensation award against BGS Security Ltd (BGSS), a private security company operating in Dublin, for persistent non-payment of wages and failure to comply with the Employment Regulation Order (ERO) covering the security sector.

The case, brought by former employee Umarjon Muradov and supported by the Independent Workers’ Union (IWU), marks the ninth such ruling against BGSS since September 2024, with the total award bill now exceeding €90,000.

The adjudicator found that BGSS operated a systematic pattern of underpaying staff, providing partial or no wages for long shifts, failing to honour premium pay, and ignoring legal minimum rates. Most notably, the company was seen to exploit workers while gaining an unfair commercial advantage over compliant competitors.

Key Findings

• Total award to Mr Muradov: €63,767.84
• Breaches included:
  • Failure to pay the €14.50/hr ERO rate
  • Non-payment for antisocial hours, public holidays, and annual leave
  • No written terms of employment
  • Failure to respond to wage arrears
• Legal breaches:
  • Payment of Wages Act 1991
  • Terms of Employment (Information) Act 1994
  • Industrial Relations Act 1946
• Total WRC liability for BGSS to date: Over €90,000

What Went Wrong

1. Deliberate Wage Underpayment

BGSS paid Mr Muradov just €500 for three months’ work, despite excessive hours in high-risk roles. They ignored the legal ERO rate of €14.50/hr introduced in July 2024.

Best Practice: Employers in regulated sectors (like security, construction, hospitality) must track and apply ERO rates immediately upon implementation. Ignorance or delay is not a defence.

2. Failure to Issue Terms of Employment

The worker received no written contract or details of pay, hours, or duties, a breach of the Terms of Employment (Information) Act.

Best Practice: Employers must issue written terms of employment within 5 days under Irish law a legal minimum that protects both employer and employee.

3. Pattern of Exploitation

The WRC described BGSS’s conduct as part of a “wider practice” of non-payment, noting that it gave the company a “substantial advantage” over law-abiding competitors.

Best Practice: Compliance isn’t just a legal obligation it’s a competitive equaliser. Systemic wage abuse not only risks court action, but also damages recruitment, contracts, and brand.

4. Disregard for State Authority

The adjudicator highlighted that the company appeared “unafraid of the State authorities”, suggesting a brazen disregard for regulatory enforcement.

Best Practice: Employers should engage proactively with WRC inspections or complaints, failure to cooperate compounds financial risk and reputational damage.

Key Takeaway

Wage compliance is not optional.

The WRC has signalled a zero-tolerance approach to persistent wage abuse in regulated sectors. Employers must ensure they are:

• Applying the correct pay rates
• Issuing compliant contracts
• Keeping accurate payroll records
• Proactively responding to worker complaints

How Bloom Consultancy Can Help

We work with employers in the security and service industries to ensure:

• ERO compliance audits and hourly rate checks
• Legally compliant employment contracts
• Support during WRC inspections or claims
• Workplace pay and conditions training via Bloom Academy LMS

Talk to us today to protect your business from costly WRC rulings.

This article is based on public decisions of the Workplace Relations Commission and reported case summaries from Irish media sources. It is intended as a commentary on HR compliance issues relevant to employers and HR professionals in Ireland.