The Government has announced increases to the national minimum wage to apply from April 2024.
In light of recommendations made by the Low Pay Commission, the Government has announced increases to the national minimum wage (“NMW”). These new rates apply from 1 April 2024. The NMW is a prescribed minimum hourly rate of pay employers must legally pay most of their workers. Generally speaking, the right to receive the NMW applies to most workers working or ordinarily working in the UK who are over compulsory school age.
National Minimum Wage – New Rates:
The new rates which are to be applied are as follows:
National Living Wage (NLW) (21 and over): £11.44 (9.8% increase).
18-20-year-old rate: £8.60 (14.8% increase).
16-17-year-old rate: £6.40 (21.2% increase).
Apprentice rate: £6.40 (21.2% increase).
Accommodation offset: £9.99 (9.8% increase).
HMRC enforces the NMW. The enforcement measures available to HMRC include service of notices of underpayment, civil penalties, “naming and shaming”, recovery of underpayments through tribunals or civil courts, and criminal prosecution.
A worker who does not receive the NMW can also bring claims for unlawful deduction from wages.
If you have any questions about the national minimum wage, your obligations as an employer or your rights as an employee, please get in touch.
Workplace Disputes and Settlement Agreements