National Minimum Wage Rates Changes effective from 1st of April 2017 – is this correct?

20 February 2017

In prior years, the National Minimum wage rate increases were effective from the 1st of October. It was confirmed in the Governments 2016 autumn statement that the National Minimum Wage rates and National Living wage rate effective dates would be aligned.

As an employer, it is your responsibility to ensure you are paying your workers at least the relevant minimum wage rate. From the 1st of April, both the National Living wage and National Minimum wage rates will be increasing.

Rate Type

Current Rate

Rate effective from the 1st of April 2017

National Living Wage for workers aged 25 years and over

£7.20

£7.50

National Minimum Wage for workers aged from 21 – 24 years

£6.95

£7.05

Development Rate for workers aged between 18 to 20 years

£5.55

£5.60

16-17 rate for workers under 18 but above school leaving age

£4.00

£4.05

Apprentice Rate (not including Higher apprenticeships) for apprentices aged 19 or over and in year one of their apprenticeship

£3.40

£3.50

 

Enforcement measures around the compliance of NMW and NLW have been increasing over the years to ensure employers are compliant. Penalties have been increased and in 2016, the penalty increased from 100% to 200% of the arrears.

If you have any questions around the NLW or NMW then please get in touch with a member of our Integrated Employment Solutions Team.

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