National Minimum Wage Increases On 1st October 2016

The National Minimum Wage will increase on 1st October 2016. These rates apply to pay reference periods beginning on or after that date:

• £6.95 per hour – 21-24 years old
• £5.55 per hour – 18-20 years old
• £4 per hour – 16-17 years 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 1st 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. 

If you have any questions or would like a consultation on your own company’s employment practices, please contact PCB Solicitors LLP’s Shrewsbury office on 01743 248148 and ask for Edmund Coxhead or Ryan Bickham who would be delighted to help.