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National Minimum Wage increase on 1 October, 2016

Oct 13, 2016

The National Living Wage (NLW) was introduced on 1 April, 2016 for all working people aged 25 and over and is set at £7.20 per hour. The National Minimum Wage (NMW) for those under the age of 25 still applies.   

In October 2016 the new NMW rates increase to: 

  • £6.95 per hour: 21-24 years old; 

  • £5.55 per hour: 18-20 years old; 

  • £4 per hour: 16-17 years old; 

  • £3.40 for apprentices under 19, or 19 or over who are in the first year of apprenticeship. 

The rate will then change every April starting April 2017. 

There are a number of people who are not entitled to the NMW/NLW: 

  • Self-employed people; 

  • Volunteers or voluntary workers; 

  • Company directors; 

  • Family members, or people who live in the family home of the employer who undertake household tasks. 

All other workers - including pieceworkers, home workers, agency workers, commission workers, part-time workers and casual workers - must receive at least the NMW. 

Information courtesy of Acas (Advisory, Conciliation and Arbitration Service) 

Photo: The National Minimum Wage applies to all employees under 25.

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