National Minimum Wage increases on 1 October 2016
The National Minimum Wage will increase on 1 October 2016. These rates apply to pay reference periods beginning on or after that date:
• £6.95 per hour – 21-24 yrs old
• £5.55 per hour 18 – 20 yrs old
• £4 per hour – 16-17 yrs old
• £3.40 for apprentices under 19 or 19 or over who are in the first year of apprenticeship.
Employers should also be aware of the National Living Wage which was introduced on 1 April 2016 for all working people aged 25 and over, and is set at £7.20 per hour.
It is against the law for employers to pay workers less than the National Minimum Wage. If an employer doesn’t pay the correct rate, a worker can make a formal grievance.
A worker can also make a complaint to HMRC who will investigate. If HMRC find that an employer hasn’t paid at least the National Minimum Wage, they can send a notice of arrears plus a penalty.