InsightsNews - Employment & HR - POSTED: January 29 2016
The National Living Wage will apply to workers aged over 25 years from 1 April 2016
This will be introduced by way of The National Minimum Wage (Amendment) Regulations 2016.
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The new minimum wages from 1 April 2016 will be:
• age 25 years and over – £7.20 per hour (the National Living Wage)
• ages of 21 – 25 – £6.70 per hour
• ages of 18 – 21 – £5.30 per hour
• aged under 18 years – £3.87 per hour
• apprentices – £3.30 per hour
The Regulations also increase the financial penalty which can be imposed on an employer who underpays. The penalty is calculated as a percentage of the amount by which the worker has been underpaid in each pay reference period. In respect of pay reference periods commencing on or after 1 April 2016 that percentage will be 200%.
In addition, although not a new provision, employers are reminded that it is automatically unfair to dismiss an employee because he or she took action, or proposed to take action, with a view to enforcing the right or securing the benefit to the minimum wage, or because the employee would qualify for minimum wage or a particular rate of it.
Workers (who might or might not be employees as legally defined) have similar rights, namely the right not to be subjected to a detriment for the same reasons.
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