Business secretary Vince Cable has “named and shamed” five employers who collectively owe workers thousands of pounds because they failed to pay minimum wage.

Naming businesses that fall short of minimum wage law is a new tactic under tougher government action to clamp down on rogue employers.

The campaign came into effect on 1 October 2013 and the first employers were outed today.

Bosses you fail to pay the low-pay threshold will also face steeper financial penalties of up to £20,000 from March 2014.

The five were named as:

• Peter Oakes of Peter Oakes Ltd, Macclesfield, neglected to pay £3619.70 to 2 workers

• Lisa Maria Cathcart of Salon Sienna, Manchester, neglected to pay £1760.48 to a worker

• Mohammed Yamin of Minto Guest House, Edinburgh, neglected to pay £808.56 to a worker

• Anne Henderson of Chambers Hairdressers, Middlesbrough, neglected to pay £452.22 to a worker

• Ruzi Ruzyyev, a car wash operator in Carmarthen, neglected to pay £225.38 to a worker

“We know that people are put off using a business’ service if it is found guilty of not paying its workers the minimum wage,” said Mr Cable.

“This is a clear warning to employers: you will damage your reputation and face a stiff penalty, if you don’t pay the minimum wage.”