Between October 2002 and December 2003 the Highfields Minimum Wage Project uncovered 20 employers who were paying less than the minimum wage.

As a result workers had lost wages totalling more than �36,000.

It was also revealed many employers were intentionally 'confusing' wage and time records, to make it difficult to determine what rate people were paid.

The report found one man, employed as a general labourer, was paid just �60 for his first month's work.

Based on the employee's average working week of 45 to 48 hours, this was equivalent to just 29 pence per hour.

Councillor Gary Hunt, the cabinet spokesman for environment, regeneration and development, felt the report shows there is still a long way to go before the problem of low paid workers is brought under control.