National Living Wage in effect on 1 April

It’s just under one month until the new National Living Wage becomes law on 1 April 2016.

Workers aged 25 and over who are not in the first year of an apprenticeship will be legally entitled to the new minimum pay rate of £7.20 per hour.

The National Living Wage will provide a direct boost to over one million workers in the UK this year – rewarding and providing security for working people.

The government is urging businesses to prepare early for the changes and make sure they follow these four simple steps:

  • Know the correct rate of pay – £7.20 per hour for staff aged 25 and over
  • Find out which staff are eligible for the new rate
  • Update the company payroll in time for 1 April 2016
  • Communicate the changes to staff as soon as possible.

By taking these measures, companies will be able to properly reward their staff and avoid falling foul of the law when it takes effect.

The new National Living Wage is a key part of the government’s plan to continue to move to a higher wage, lower tax and lower welfare society, building a more productive country and giving families the security of well-paid work.

For further information visit the National Living Wage website. Businesses can also join the conversation on Twitter by following @bisgovuk and the hashtag #NationalLivingWage.