From 1st April the national living wage increases by 2.2% from £8.72 to £8.91. This represents an annual pay increase of £345 for a full time employee on this rate.

From this date the national living wage (NLW) is also extended to include those aged 23 and 24.

A 23 or 24 year old paid the current national minimum wage rate of £8.20 per hour will become eligible for at least the NLW of £8.91 per hour. That’s an increase of 8.7%.

Don’t get caught out! You must make sure that all employees receive at least the statutory minimum pay rate for their age. Start with an audit of your workforce to identify any individuals that will be eligible for a change in pay and be sure to confirm the change in writing.

See our previous blog for more information on the new rate of pay.