The National Minimum Wage is set to rise to £10.42 from April 1, 2023. The new rate applies to all people aged 23 and over.
Rates applying to younger people and apprentices are also set to rise. The new rate for people aged 21- 22 will be £10.18, and £7.49 for those aged 18-20 years old. The rate for people aged under 18, and apprentices will be £5.28.
The rises will mean employment costs will increase across the board. Employers also need to be aware of the wage rises in regard to making updates on payroll systems. And that these are in place before the wage rates change in April.
Failure to pay the minimum wage could result in a penalty, including paying staff for any shortfalls, plus fines from 100 per cent to 200 per cent of arrears owed to workers. You may even be officially named and shamed for failing to meet these obligations.
Business owners concerned about any issues around the forthcoming changes to the National Minimum Ware should speak to our payroll team today.