National Minimum Wage Increase

The increase will take effect on Wednesday 1 October 2014 and, according to Government figures, more than 1 million people will see their pay rise by as much as £355 a year.

The Low Pay Commission (LPC) has said the rise, the first real terms cash increase since 2008, is manageable for employers and will support full employment.

The National Minimum Wage rates from 1 October 2014, as recommended by the LPC, will be:

a 19p (3%) rise in the adult rate (from £6.31 to £6.50 per hour)
a 10p (2%) rise in the rate for 18 to 20 year olds (from £5.03 to £5.13 per hour)
a 7p (2%) rise in the rate for 16 to 17 year olds (from £3.72 to £3.79 per hour)
a 5p (2%) rise in the rate for apprentices (from £2.68 to £2.73 per hour)

Who is entitled to the minimum wage?

Workers must be of school leaving age (last Friday in June of the school year they turn 16) or over to get the minimum wage.

Contracts for payments below the minimum wage are not legally binding. The worker is still entitled to the minimum wage.

Workers are also entitled to the minimum wage if they’re:

part-time
casual labourers, eg someone hired for 1 day
agency workers
workers and homeworkers paid by the number of items they make
apprentices
trainees, workers on probation
disabled workers
agricultural workers
foreign workers
seafarers
offshore workers

Apprentices

Apprentices are entitled to the apprentice rate if they’re either:

under 19
over 19 and in the first year of their apprenticeship

Apprentices over 19 who have completed the first year of their apprenticeship are entitled to the minimum wage rate for their age.

Gov.UK Sources:

One million set to benefit from National Minimum Wage rise to £6.50

The National Minimum Wage

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