Changes to National Minimum and National Living Wage Rates 2020
Employers should be aware that on 1 April 2020, the government is increasing both the National Minimum and National Living Wage rates.
National Minimum Wage & National Living Wage Changes:
From 1 April 2020, National Minimum Wages and National Living Wage Rates will increase as follows:
- From £8.21 to £8.72 per hour for workers aged 25 and over*
- From £7.70 to £8.20 an hour for workers aged 21 – 24
- From £6.15 to £6.45 an hour for workers aged 18 – 20
- From £4.35 to £4.55 an hour for workers under 18
- From £3.90 to £4.15 an hour for apprentices under 19 or 19 and over who are in their first year of apprenticeship
Who is entitled to the National Minimum Wage?
Most workers in the UK are entitled to National Minimum Wage but there are some groups who are not entitled and include:
- Self employed people
- Voluntary Workers
- Company Directors
Who is entitled to the National Living Wage?
Workers must be aged 25 or over to be entitled to the National Living Wage.
What about Part-Timers?
It makes no difference to a worker’s entitlement to the National Minimum Wage whether they work for you full time or part time, or whether they are an agency worker, a temporary or casual worker, a piece worker or home worker.
For more information
The above changes can also be viewed at https://www.gov.uk/national-minimum-wage-rates.
*the National Living Wage for workers aged 25 and over was introduced in April 2016.
If you would like further information on how the changes affect you, please contact a member of our payroll team below.