Minimum Wage Rates Increases - 1 April 2018
Posted on 29th March 2018 at 12:01
The National Minimum Wage is the minimum pay per hour most workers under the age of 25 are entitled to by law. The National Living Wage is the minimum pay per hour most workers aged 25 and over are entitled to by law. The rate of pay received will depend on a worker's age and whether or not they are an apprentice.
From 1 April 2018 the National Living Wage and the National Minimum Wage will be increased. The new rates are set out below.
National Living Wage payable to all workers aged 25 and over
Increases from £7.50 to £7.83 per hour
Adult National Minimum Wage payable to workers aged 21 to 24
Increases from £7.05 to £7.38 per hour
Youth Development National Minimum Wage payable to workers aged 18-20
Increases from £5.60 to £5.90 per hour
Young Workers National Minimum Wage payable to workers aged 16 & 17
Increases from £4.05 to £4.20 per hour
Apprentice National Minimum Wage payable to apprentices under 19 or in 1st year of their apprenticeship
Increases from £3.50 to £3.70 per hour
(Apprentices aged 19 or over in their second year of apprenticeship must receive the national minimum wage or national living wage rate their age entitles them to).
Best practice dictates that employers should advise employees in writing that the payments will be increased in line with new legislation. Employers should also inform employees when they will receive increases required due to a change in the employee's age.
The rates are reviewed annually by the Low Pay Commission and currently it's expected they are likely to rise each year.
If you would like to find out more or need help with the minimum wage rates, please contact us and we will be happy to help you.