There are the usual caveats in that while these rates apply to most workers, it is qualified by age and status as an apprentice. I like to take this opportunity to remind clients that you can be taken to court by HMRC if you fail to pay the minimum wage - so it's definitely worth taking note of unless you relish that prospect.
Here's a helpful video from ACAS explaining how the minimum wage works, in case you're unfamiliar with it.
New rates from 1st April 2019
- £8.21 per hour for ages 25 and over.
- £7.70 per hour for ages 21 to 24.
- £6.15 per hour for ages 18 to 20.
- £4.35 per hour for school leaving age to 17.
- £3.90 per hour for apprentices.
The new rate will apply to the next pay reference period that begins on or after the date:
- a rate increase begins
- an employee reaches a new age bracket.
|Date of rate||25 and over||21 to 24||18 to 20||Under 18||Apprentice|
|From April 2017 to|
|From October 2016 to|
|From April 2016 to|
Tribunal Compensation Limits
Tribunal compensation limits will increase on Saturday 6 April 2019. The maximum compensatory award for unfair dismissal will rise from £83,682 to £86,444. The maximum amount of a week's pay, used to calculate statutory redundancy payments and various awards (including the basic and additional awards for unfair dismissal), also rises from £508 to £525. All the new limits are listed below:
- Limit on guaranteed payments - £29
- Limit on a week's pay - £525
- Maximum basic award for unfair dismissal and statutory redundancy payment - £5,750
- Minimum basic award for unfair dismissal - £6,408
- Maximum compensatory award for unfair dismissal - £86,444
Payslip information & statutory updates
A couple of changes to the Employment Rights Act 1996 come into force on 6th April and affect the way you handle payslips.
- You must now include the total number of hours worked where the pay varies according the hours worked - so for example to employees who work variable hours or are on zero hours contracts.
- Payslips must be given to 'workers' and not just employees.
- Statutory sick pay rises from £92.05 to £94.25.
- The lower earnings limit rises from £116 to £118 on the same date.
A day later (for some reason, not known to lesser mortals) other changes come into effect:
- Statutory maternity, paternity, adoption, and shared parental pay rises from £145.18 to £146.68 a week.
- The lower earnings limit rises from £116 to £118
As ever, if your eyes glazed over at any of that - or if you just want to talk something through, give me a buzz.