On the 1st April 2019, there will be the annual increase to the National Minimum Wage (NMW).
What is the National Minimum Wage?
The NMW is the minimum pay per hour a worker is entitled to by law. The rate will depend on a worker's age and if they are an apprentice. Employees aged 25 or above qualify for the National Living Wage.
The rates are reviewed annually by the Government who receive advice from the independent body The Low Pay Commission.
Below are the current rates and the increased rates which will take effect from the 1st April 2019:
| Age of Employee |
01/04/2018 |
01/04/2019 |
| Aged 25 and over |
£7.83 per hour |
£8.21 per hour |
| Aged 21 to 24 |
£7.38 per hour |
£7.70 per hour |
| Aged 18 to 20 |
£5.90 per hour |
£6.15 per hour |
| Aged 16 to 17 |
£4.20 per hour |
£4.35 per hour |
|
Apprentices under 19,
or aged 19 and over but in the first year of an apprenticeship
|
£3.70 per hour |
£3.90 per hour |
| Accommodation offset |
£7.00 per hour |
£7.55 per hour |
What is the Difference Between the National Living Wage and Minimum Wage?
Both the National Living Wage and Minimum Wage are set by the Government.
Minimum Wage is a legal requirement that all employers comply with. The ‘Living Wage’ is separate and not a legal requirement, although many employers have chosen in favour of it thereby paying their employees more. The Living Wage is reviewed annually by the Living Wage Foundation.
Employers who are found by HMRC to not be paying their employees the NMW can be fined a maximum of £200,000 per employee and can also be banned from being a company director for up to 15 years.
Are You Being Paid Correctly?
If you think you are not being paid the correct wage, we advise that you initially speak with your employer to raise your concerns. If this fails, you are then entitled to file a formal grievance against your employer.
For further help and advice regarding any employee law matters, please get in touch with our approachable and professional team of legal experts who can help both employees and employers.
