National living wage
The Government's new national living wage came into effect on 1 April 2016. From this date, all employers have to pay workers aged 25 and over £7.20 per hour. The Low Pay Commission will be responsible for making recommendations on changes to the rate, as it is for the other national minimum wage rates. The rate is set to increase to £9 per hour by 2020.
- What is the national living wage?
- When does the national living wage come into force?
- If 1 April 2016 falls part way through a payroll period, from which date does the employer have to start paying the national living wage?
- What is the living wage used by the Living Wage Foundation and how is it calculated?
- What are the consequences if an employer pays workers less than the national minimum wage?
- Is an employer at risk of an age discrimination claim if it has different pay rates for employees of different ages, in line with the national minimum wage bands?
- Which elements of pay count for the purposes of calculating whether or not the national minimum wage has been paid?
- Will the rate for the national living wage increase each year at the same time as the other bands of the national minimum wage?
- Are apprentices who are aged 25 or over entitled to the national living wage?
- When a worker turns age 25, is he or she entitled to be paid the national living wage rate from the date of his or her birthday?
Policies and documents
- Letter advising a worker of a pay increase because of the introduction of the national living wage
- Letter advising a worker of a pay increase because he or she has moved to a higher age band of the national minimum wage