National Minimum Wage increases this week

There’s just two more days for employers to get ready for changes to the National Minimum Wage, or risk facing serious penalties.

The changes come into affect on Wednesday the 1st of October and will see the adult minimum pay rate increase by 19p an hour to £6.50, while staff aged between 18 and 20 will see their hourly rate increase by 10p to £5.03.

16 to 17 year olds will also earn a bit more every hour with a 7p rise to £3.79, while the rate apprentices earn per hour is up 5p to £2.73.

The Government says the increase will see more than a million people getting increases of up to £355 a year.

HMRC has also tweaked its penalty regulations so that companies found not paying the new rates will be fined £20,000 per each underpaid staff member.

HMRC also has the power (since last October) to “name and shame” companies which do not pay the minimum rates. They have reportedly already singled out over 25 companies over the past year.

More information on the new National Minimum Wage can be read here.

We also want to hear your views on these changes. How will this affect your business? Leave us your comments below.