National Minimum Wage

David McRae
David McRae
Managing Director
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On 1 April 2016 the government introduced the new mandatory National Living Wage (NLW) for workers aged 25 and above, who are now entitled to be paid a minimum of £7.20 per hour.

However, the National Minimum Wage (NMW) rates for workers under the age of 25 are separately subject to their annual review each 1 October. Therefore, on 1 October 2016, the minimum wage rates for those under 25 years of age were increased as follows:

  • For workers aged 21 to 24: £6.95 per hour
  • For workers aged 18 to 20: £5.55 per hour
  • For workers under 18 but above compulsory school leaving age: £4.00 per hour
  • For apprentices aged under 19 or in the first year of their apprenticeship: £3.40 per hour

Enforcement powers for non-payment of any applicable rate of the National Minimum Wage were recently extended. The maximum fine for non-payment is now £20,000 per worker and employers who fail to pay can be banned from being a company director for up to 15 years.

The Department for Business, Skills and Innovation has written a guide on calculating the minimum wage, which can be found here.


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Lauren Wilson red arrowSenior Solicitor
Louise Walker red arrowLegal Director
Caroline Cobain red arrowLegal Director
David McRae red arrowManaging Director
David Reid red arrowDirector
Lucy Brooks red arrowSenior Solicitor
Samer Cheaitou red arrowTrainee Solicitor
Brian Todd red arrowBusiness Development Manager