As you may know, upcoming changes to the UK National Minimum Wage (NMW) will come into effect on 1st April 2024. It is a legal requirement for companies to pay their employees the minimum wage requirement on average for the hours they work. It is therefore imperative that you ensure your company payroll systems and processes are updated, and all relevant staff members responsible for HR and managing your company’s payroll are aware of these new rates.

As of this date, the new NMW rates will be as follows:

* Please note: the Apprentice Rate for those who are 19 and over only applies for their first year of the apprenticeship. If an apprentice is over 19 and is in their second year or more of their apprenticeship, then they will receive the NMW rate for their age.

Compliance with these new rates is essential to avoid any potential legal issues. Failure to pay your employees at least the NMW rate can result in £20,000 fine for the company, as well as reimbursing employees for the underpayment(s) and an additional cost of up to £100 per each employee/worker effected, even if this is more than the underpayment.

Not sure who to ask if you have any questions about the upcoming changes to the NMW? WE DO.

Get in touch on 01325 488425 or email the team at admin@wedohr.co.uk

We can provide you with letters that you can use to advise staff members who will be affected by the NMW increase – one for employees on hourly rates and the other for salaried staff. It is good practice to send this letter out before they receive their April payslip, so they are aware it will read differently next month.