Annual National Minimum Wage Rate Increases
The National Minimum Wageincrease will take effect on 1 October 2015.
- For workers who are aged 21or over, from £6.50 to £6.70 per hour.
- For workers who are aged 18or over (but not yet 21), from £5.13 to £5.30 an hour.
- For workers who are under theage of 18, from £3.79 to £3.87 an hour.
- For apprentices, from £2.73to £3.30 an hour.
The National Minimum Wage isincreased annually in October of each year followingrecommendations by the Low Pay Commission, an independent statutorybody set up to monitor and evaluate the National Minimum Wage andmake recommendations for change.
In July 2015 the Low PayCommission also opened consultation in relation to the potentialimpact of the proposed National Living Wage. Consultationwill close in September 2015.
In the meantime, the newNational Living Wage of £7.20 per hour is due to be introduced inApril 2016 for workers who are 25 and above.
The National Living Wage willinvolve a potential pay rise for many workers but critics arguethat thousands of jobs will be lost.
In the meantime, a number ofcompanies including Lidl, Ikea and Oliver Bonas have alreadyintroduced the Living Wage in a blaze of publicity.
Whilst some businesseschampion the cause other organisations, charities and socialenterprise are looking closely at the consequences and at how toretain services without increasing prices for theconsumer.
This article is for general guidance only. It provides useful information in a concise form. Action should not be taken without obtaining specific legal advice.