Do you have employees over the age of 25 years? If the answer is yes you should be aware a new National Living Wage is being introduced. 
National Living Wage 
The National Living Wage will be introduced on 1 April 2016 and will be payable to workers aged 25 and over who are not in the first year of an apprenticeship. The current rate is £7.20 per hour. The current National Minimum Wage for those under the age of 25 still applies. Rates previously increased annually in October, but from April 2017 will change every April in line with the National Living Wage. 
Minimum pay rates 
From 1 October 2016 the following minimum pay rates will apply: 
*for apprentices under 19, or 19 and over who are in the first year of apprenticeship. 
It has been estimated that 50% of employers will need to increase pay for relevant workers. It will be a criminal offence to not pay your workers this minimum payment and it will be enforced as strongly as the National Minimum Wage. The government is consolidating enforcement by doubling the penalties for a failure to pay by up to 200% of arrears, so you should ensure you are paying your staff the correct amount. 
For further information on National Minimum Wage, National Living wage or any other salary related topic including benchmarking, contact us: 
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