From October 2010,
National Minimum Wage rates will increase
from
- £5.80 to £5.93 an hour for workers
aged 21 and over
- £4.83 to £4.92 an hour for workers
aged 18 to 20
- £3.57 to £3.64 an hour for workers
aged 16 to 17.
The government has extended the adult
minimum wage rate to 21 (previously 22)
year-olds from October 2010 and, for the
first time, an apprentice minimum wage
rate has been set at £2.50 an hour.
The Low Pay Commission Chairman David
Norgrove said:
"We are pleased that the government has
again accepted the Commission’s
recommendations. The introduction of an
apprentice rate marks an important
extension to minimum wage protection
across the UK."
Penalties for non compliance
From April 2009 HMRC are able to charge
penalties to those employers found to be
in breach of the NMW rules.
Automatic penalties are levied on
employers where HMRC officers find NMW
arrears. The penalties range from £100 to
£5,000 with 50% prompt payment discounts
for employers who settle within 14 days of
notification.
The penalty is payable in addition to
arrears owed to the workers.
In serious cases of non compliance the
employer may be tried in a Crown Court and
in those cases the fines are unlimited.
If you have any queries on the NMW
please do get in touch.
Internet links:
NMW rates and
NMW penalties |