New NMW rates, make sure you comply!
As an employer, or prospective employer of domestic/household staff it is important that you keep up to date with changing and current rates of pay for the National Minimum Wage, particularly as the penalties for non-compliance have become considerably greater.
From the 1st of October (2016) the following rates have applied
- For workers aged 21-24 year olds, NMW has increased from £6.70 to £6.95 per hour
- For workers aged 18-20 year olds, NMW has increased from £5.30 to £5.55 per hour
- For workers over compulsory school age but not yet 18, NMW has increased from £3.87 to £4.00 per hour
- The apprentice rate (for apprentices under the age of 19, or 19 and over but in the first year of apprenticeship) has increased from £3.30 to £3.40 per hour.
Claiming that you were unaware of the payment scale is no protection from the now very heavy financial penalties which can be imposed These have been raised to a maximum of ￡20,000 per employee affected
The pay rate for the National Living Wage, as set by the government and which only applies to employees aged 25 years and older, is currently ￡7.30 an hour. The date at which this will be reviewed is April 2017.
Ensure you comply, it’s cheaper!