HR view: Make sure you’re ready for the New National Minimum Wage

It’s that time of year again whereby the government applies a statutory increase to National Minimum Wage (NMW). Here our HR Assistant, Alisa Mistry, lays out the facts and figures for the new National Minimum Wage rates from April 2017.

By Alisa Mistry

I know… it doesn’t seem two minutes since the last increase was applied! Following on from Laura’s blog highlighting the top ten excuses employers make for NOT paying the National Minimum Wage, it’s a good time to get to grips with what you need to know to make sure you are not one of the 700+ business who face a fine (and naming an shaming!) for failing to pay what your employees are entitled to.

With this in mind, we wanted to update you with the latest information so that you can ensure you’re ready to go live with the increases and plan ahead with your budgeting!

From 1 April 2017 the following rates will take effect:

• The rate for employees aged 25 and over will increase by 30 pence to £7.50
• The rate for 21 to 24 year olds will increase by 10 pence to £7.05 per hour
• The rate for 18 to 20 year olds will increase by 5 pence to £5.60 per hour
• The rate for under 18s will increase by 5 pence to £4.05
• The apprentice rate will increase by 10 pence to £3.50 per hour

These rates are statutory minimum rates and therefore employers must pay all workers at least the appropriate rate for their age.

If you’re a worker, you should check whether you’re getting the correct minimum wage and whether you are owed any payments from your employer.

Don’t let the National Minimum Wage pass you by this year! HR180 offers a sophisticated payroll service to SMEs, which acts as a double check to make sure that your employees are correctly paid. Even when your staff have amazingly complex shift patterns or are younger people who are moving into a higher paid band we can pick that up for you! Worth a chat through isn’t it?