Call us on:  0808 172 93 22 | Offices: London - Northampton

ADVANCED WARNING…..NATIONAL MINIMUM WAGE INCREASES

It’s that time of year again when employers have to start budgeting for an increase in the National Minimum Wage (“NMW”).

Younger age group to benefit!

“Those aged 23 and 24 years are set to receive an 8.7% pay rise,
which will need to be accommodated in the wage bill”.

The Government has decided to lower the age bracket for those entitled to the National Living Wage from 25 to 23. In real terms this gives rise to a £0.71 per hour increase for 23 to 24 year olds. Based on a 40-hour working week this increase amounts to an annual gross increase of just under £1,500.00.

Hourly wage change!

The following changes to the NMW hourly rate will take effect from 01 April 2021:

Getting it wrong!

“It pays to get it right. HMRC will take action;
and will publicly name and shame employers in breach”.

The NMW is enforced by HMRC, which can include service of notices of underpayments and penalties, “naming and shaming”, recovery of underpayments through litigation and criminal prosecutions.

Workers can bring claims for unlawful deduction of wages in the employment tribunal.

Is your business compliant?

To ensure your business is compliant there needs to be a thorough understanding as to what constitutes working time for the purpose of establishing if your business is paying its workers the NMW.

Time spent actually working is clearly identifiable but what about time spent travelling or “on-call”? Do you understand the legal position and how to approach these issues?

FGS are experts in helping its clients safeguard their business from legal, financial and reputation risks so they have greater certainty over their commercial outcomes.

If you require further guidance about the impact the above changes will have on your business or NMW compliance, please feel free to call us on 0808 172 9322 for a no obligation discussion.

WELCOME TO A MORE CONFIDENT FUTURE!

For further details about the commercial legal service and assistance we provide to businesses, please click here. 👇

Our Services

This update is for general guidance only and advice should be taken in relation to a particular set of circumstances.

Updated: by FG Solicitors
Call us on:  0808 172 93 22

ADVANCED WARNING…..NATIONAL MINIMUM WAGE INCREASES

It’s that time of year again when employers have to start budgeting for an increase in the National Minimum Wage (“NMW”).

Younger age group to benefit!

“Those aged 23 and 24 years are set to receive an 8.7% pay rise,
which will need to be accommodated in the wage bill”.

The Government has decided to lower the age bracket for those entitled to the National Living Wage from 25 to 23. In real terms this gives rise to a £0.71 per hour increase for 23 to 24 year olds. Based on a 40-hour working week this increase amounts to an annual gross increase of just under £1,500.00.

Hourly wage change!

The following changes to the NMW hourly rate will take effect from 01 April 2021:

Getting it wrong!

“It pays to get it right. HMRC will take action;
and will publicly name and shame employers in breach”.

The NMW is enforced by HMRC, which can include service of notices of underpayments and penalties, “naming and shaming”, recovery of underpayments through litigation and criminal prosecutions.

Workers can bring claims for unlawful deduction of wages in the employment tribunal.

Is your business compliant?

To ensure your business is compliant there needs to be a thorough understanding as to what constitutes working time for the purpose of establishing if your business is paying its workers the NMW.

Time spent actually working is clearly identifiable but what about time spent travelling or “on-call”? Do you understand the legal position and how to approach these issues?

FGS are experts in helping its clients safeguard their business from legal, financial and reputation risks so they have greater certainty over their commercial outcomes.

If you require further guidance about the impact the above changes will have on your business or NMW compliance, please feel free to call us on 0808 172 9322 for a no obligation discussion.

WELCOME TO A MORE CONFIDENT FUTURE!

For further details about the commercial legal service and assistance we provide to businesses, please click here. 👇

Our Services

This update is for general guidance only and advice should be taken in relation to a particular set of circumstances.