Increase to National Minimum Wage Rates

From the 1st of October 2016 the following National Minimum Wage increases shall take effect:

  • the rate for workers aged 21 to 24 will increase from £6.70 to £6.95 per hour;
  • the rate for 18 to 20 year-olds will increase from £5.30 to £5.55 per hour;
  • the rate for 16 to 17 year-olds will increase from £3.87 to £4.00 per hour;
  • the apprentice rate increases from £3.30 to £3.40 per hour.

The National Living Wage of £7.20 per hour for workers aged 25 and above came into force earlier this year. The Government has confirmed that from April 2017 the National Living Wage and the National Minimum Wage rates will be uprated in parallel.

It’s a legal requirement that all employers comply with all National Minimum Wage legislation. If an employer fails to do so then a worker may claim either:

  • Unlawful deduction from wages or breach of contract at an employment tribunal – such claims must be brought within three months of the date of the deduction or the last in a series of deductions.
  • Breach of contract in the county court – such claims can be brought in the county court up to six years after the breach took place.

If you or your business require any further clarification on the above points then please contact the Slater Heelis employment team on 0161 672 1246