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Employers: new minimum wage rates come into force in April

One of the many announcements in the recent Budget was confirmation by the Chancellor of the new National Minimum Wage and National Living Wage rates.

And in an important new development, the National Living Wage will now apply to workers aged 23 and over. Until, now, the National Living Wage rate has applied to those aged 25 and over.

The new rates are:

  • National Living Wage – aged 23 and over: £8.91
  • National Minimum Wage – aged 21 and 22: £8.36
  • National Minimum Wage – aged 18 to 20: £6.56
  • National Minimum Wage – under 18: £4.62
  • Apprentices: £4.30

An apprentice is entitled to the minimum hourly rate of £4.30 (from April 1) if they are aged under 19 or if they are over 19 and in the first year of their apprenticeship. Apprentices who are aged over 19 and who have completed the first year of their apprenticeship are entitled to the National Minimum Wage.

As a business, at 24-7 Staffing we proud to say we always pay staff at least the National Living Wage, even those who wouldn’t automatically qualify due to their age.

 

What happens if an employer doesn’t pay NMW or NLW?

According to ACAS, anyone can report that an employer is underpaying staff and can do so anonymously if they prefer.

The consequences can be an arrears notice to pay, plus a penalty. In some cases, HMRC can also take employers to court where the maximum fine for non-payment is £20,000 per worker.

 

There were many more announcements in the Budget relating to workers, including the extension of the furlough scheme and a fifth round of support for self-employed people. More information is on the government website.

If you are recruiting or looking for a new role, why not contact the team at 24-7 Staffing to see if we can help. We are an independent recruiter placing people in temporary and permanent roles in the driving, commercial, healthcare and industrial sectors, across Chippenham, Salisbury, Bristol, Wiltshire and the South West.

Melody Thompson

Published by Melody

over 1 year ago

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