As of October 1st 2016, the national minimum wage is increasing. Employers who don’t pay the National Minimum Wage are liable to a 200% penalty of the arrears amount.
- Minimum wage for 21-24 year old’s is being increased by 3.7 percent from £6.70 to £6.95 per hour
- The Youth Development Rate (affecting 18-20 year olds) is increasing by 4.7 percent from £5.30 to £5.55 per hour
- The 16-17 Year Old Rate is increasing by 3.4 percent from £3.87 to £4.00 per hour
- And the Apprenticeship Rate (for apprentices under the age of 19, or 19 and over but in the first year of their apprenticeship) will increase by 3 percent from £3.30 to £3.40 per hour
So remember to check that you know who is eligible for this within your company and make sure to take the appropriate payroll action.