National Minimum Wage is increasing, here’s what you need to know

National Minimum Wage is increasing, here’s what you need to know

The Government has announced that there will be an increase to the National Minimum Wage, that comes into effect from April 2024.

For some, this change may be unknown, and you’ve now got a number of different questions circling around your brain.

Fear not, we’re here to tell you everything you need to know and everything you need to do! Here are some of the most asked questions.

What is the National Minimum Wage?

The National Minimum Wage (NMW) is the minimum hourly rate that workers under 23 are entitled too. This is only applicable if the employee is one of the following:

• A full-time worker
• A part-time worker
• A casual worker
• An agency worker

Here is a table that shows the increases by age:
National Minimum Wage Increase

What is the National Living Wage?

The National Living Wage is the very minimum hourly rate employers must pay workers aged 23 and over.

The age threshold for the National Living Wage was initially applied to those 25 and over, before being reduced to 23-year-old and over back in 2021.

We’re thrilled to announce that as of April 2024, this threshold will be reduced to 21 year old and over.

Who is entitled to National Minimum Wage?

One key misconception is that National Minimum Wage only applies to them on an hourly rate, which is not the case at all.

The rate actually applies to all workers across the UK, including the following:
• Part-time/casual workers
• Workers in training
• Offshore workers

Why is National Minimum Wage increasing?

The Low Pay Commission, the government’s advisors on wage if you will, made the decision to increase NMW as the Cost-of-Living Crisis continues.

If you’re an employee reading this article, check out our update here.

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