The National Minimum Wage (NMW) and National Living Wage (NLW) are set to increase on the 1st of April 2023 to £10.42 an hour, an increase of 92 pence or 9.7 per cent.
The increase will see the biggest increase since the NMW was introduced in 2016.
The new minimum wage rate
From 1 April 2023, the hourly minimum wage rate is:
Who is entitled to receive the National Minimum Wage
Workers that are under the age of 23 are eligible to the National Minimum Wage (NMW), which is the lowest hourly rate, if they fall under one of categories below:
Employers are required to pay employees aged 23 and above at least the National Living Wage.
Calculating wages
Even if you are paying workers the minimum wage or above, you could still be underpaying them if you don’t make deductions and payments correctly. For information and help on the payments and deductions which must be considered when calculating a worker's pay for minimum wage purposes, go to www.gov.uk/guidance/calculating-the-minimum-wage/calculating-the-minimum-wage
Further information and guidance can be found at:
HMRC – Information and webinars Help and Support for Employing People
You can register and watch a pre-recorded HMRC webinar here
Acas (Advisory, Conciliation and Arbitration Service) provides information, advice and training about workplace issues, including payment of the National Minimum Wage.
The Living Wage Foundation offers accreditation to employers that choose to pay the Living Wage.
Contact Hertfordshire Growth Hub’s Business Information Advisers should you require further support by calling 01707 952777 or emailing enquiries@hertsgrowthhub.com