Dublin Security Firm Accused of €4/Hour ‘Wage Theft’ & Racial Discrimination

A security guard employed by a Dublin-based firm, BGS Security Ltd (BGSS), received as little as €4 an hour for guarding a high-end clothing store on Grafton Street, the Workplace Relations Commission (WRC) heard this week. The case, brought by Michael Ehigiato, highlights allegations of systemic wage theft and exploitative labor practices at a company that has since entered liquidation. The revelations come amid growing scrutiny of labor standards within Ireland’s security sector.

Wage Theft Allegations and Company Collapse

BGS Security Ltd, established in May 2019, faced accusations of deliberately underpaying its employees before its collapse last year. Ehigiato’s complaint details a pattern of excessive working hours and non-payment of wages, alongside claims of racial discrimination. According to evidence presented to the WRC, Ehigiato worked an average of 54 hours per week, peaking at 71 hours in a single week, yet received only €3,000 in cash over roughly three months of employment. This equates to an hourly rate significantly below the legal minimum for security personnel. The company’s status is currently listed as Liquidation, according to SoloCheck.

Nicola Coleman, representing Ehigiato through Siptu Workers’ Rights Centre, argued that the €4 hourly rate represented a fraction of the legal minimum and underscored a pattern of exploitation. Ehigiato was assigned to various retail locations across Dublin, including Spar, Mace, Centra convenience stores, and the North Face shop on Grafton Street. Texts presented as evidence showed Ehigiato repeatedly requesting outstanding wages, expressing desperation due to mounting debts. “I hardly complain, but today is different, I worked many hours . . . I don’t have a penny with me. I’m totally broke, owing debts,” one text read. Another message revealed he had only €5 remaining in his bank account.

Broader Pattern of Non-Payment

The case of Michael Ehigiato is not isolated. The WRC was informed that 14 former BGSS employees had already successfully pursued claims for non-payment of wages against the company. Ehigiato is one of nine ex-BGSS staff currently represented by Siptu in a new set of complaints. Coleman stated that an additional 11 former employees, fearing repercussions, declined to pursue legal action. This suggests a climate of intimidation and vulnerability within the workforce.

The allegations extend beyond simple wage underpayment. Coleman characterized BGSS’s operations as relying on “free labour” and systematically targeting migrant workers. She asserted that the treatment experienced by these workers amounted to racial discrimination, stating, “This systematic and deliberate wage exploitation could not, would not and did not happen to an Irish person.” This claim points to a potentially discriminatory hiring and payment structure within the company.

Financial Difficulties and Director’s Actions

BGS Security Ltd’s financial woes culminated in its liquidation last November, with Tom Musiol of Musiol Advisory appointed as liquidator. However, obtaining information from company officials has proven difficult. Steven Gyurko, representing the liquidator, told the WRC that he has been unable to contact any current or former officers of the company.

Further complicating matters, company director Hugh Downes reportedly sold his Dublin home in August 2025 and is rumored to be abroad, further hindering efforts to investigate the company’s financial dealings. This lack of cooperation raises questions about transparency, and accountability. The company’s most recently filed accounts were for the period ending June 30, 2024, with the next set due in November 2025, according to SoloCheck.

Impact on the Security Sector and Regulatory Response

The BGSS case highlights potential vulnerabilities within Ireland’s private security industry. The company was able to operate with a Private Security Authority (PSA) license until July 2025, when it was ultimately revoked by the regulator. This raises questions about the effectiveness of oversight mechanisms and the speed with which regulatory bodies can respond to allegations of worker exploitation. The Irish Times reported that a separate case revealed the company was allegedly not paying workers who “have a deficiency of the English language” – Business & Human Rights Resource Centre.

Coleman argued that BGSS’s cost-cutting measures – effectively reducing labor costs to “almost zero” – created an unfair competitive advantage over companies adhering to employment regulations. This, she claimed, undermined working conditions across the entire sector and distorted fair competition. The allegations suggest a deliberate strategy to maximize profits at the expense of worker welfare.

Grafton Street Security Pay Rates

The case is particularly noteworthy given the location of one of the guarded premises: a high-end clothing shop on Dublin’s prominent Grafton Street. The contrast between the affluence of the retail environment and the extremely low wages paid to the security personnel guarding it underscores the severity of the alleged exploitation. Recent reports indicate that even security personnel on Grafton Street were earning as little as €4 per hour – The Irish Times.

Next Steps and Ongoing Investigations

The WRC hearings are ongoing, with further cases against BGSS expected to be heard. The liquidator, Tom Musiol, continues to investigate the company’s financial affairs, though progress is hampered by the lack of cooperation from former officers. The PSA will likely review its licensing procedures in light of the BGSS case to prevent similar incidents in the future. The outcome of these investigations could have significant implications for the regulation of the private security industry in Ireland and the protection of vulnerable workers.