National Minimum Wage
The National Minimum Wage (NMW) is the minimum pay per hour most workers are entitled to by law. The rate depends on a worker’s age and if they are an apprentice.
The Government’s National Living Wage was introduced on 1 April 2016 for all working people aged 25 and over, and was set at £7.20 per hour. The current MMW for those aged under 25 still applies.
The rates from 1 October 2016 are:
- £7.20 per hour – 25 years old and over
- £6.95 per hour – 21 – 24 yrs old
- £5.55 per hour – 18 – 20 yrs old
- £4.00 per hour – 16 – 17 yrs old
- £3.40 for apprentices under 19 or 19 or over who are in the first year of apprenticeship.
The rates will change every April, commencing in April 2017.
There are a number of people who are not entitled to the NMW/NLW.
- Self-employed people.
- Volunteers or voluntary workers.
- Company directors.
- Family members, or people who live in the family home of the employer who undertake household tasks.
All other workers including pieceworkers, home workers, agency workers, commission workers, part-time workers and casual workers must receive at least the NMW.