Quick update regarding National Minimum Wage

Wednesday 10th August 2016

A number of queries received recently have highlighted a small measure of confusion about the National Minimum Wage and the National Living Wage and the dates when these change.

Hopefully what follows will clarify this for everyone.

The situation is now that for employees aged 25 and over it is the National Living Wage which applies. The National Minimum Wage only applies to workers aged under 25.

The National Minimum Wage rates change every October whereas the National Living Wage rate changes every April. This means that from 1 October 2016 wages for those aged 25 years and over, there will be no change until next April. Those under 25 will see a pay rise.

Current rates from 1 April 2016 for the and the National Minimum Wage are:

  • Age 25 and over: £7.20
  • 21 to 24: £6.70
  • 18 to 20: £5.30
  • Under 18: £3.87
  • Apprentice: £3.30

The new rates from October 2016 will be:

  • Age 25 and over: £7.20 (no change)
  • 21 to 24: £6.95
  • 18 to 20: £5.55
  • Under 18: £4.00
  • Apprentice: £3.40

 

If you would like to discuss this article in further detail, please contact a member of the employment team.