02 October 2016, 10:28 AM
  • The national minimum wage boost went up on 1st October, with employers being reminded to check payrolls as almost 500,000 young workers are owed a pay rise
Employers Urged to Check Payrolls After Minimum Wage Boost

Around 270,000 workers aged 21 to 24 earning the minimum wage will see their hourly wage rise by 25p an hour to £6.95. It is the largest increase since 2008, outstripping average wage growth and inflation.

Around 210,000 workers aged under 21 and apprentices will also see an increase to their pay packets.

It is a mandatory requirement for anyone entitled to the national minimum or living wage to receive it - employers who fail to pay will be found and punished, as well as being publicly named and shamed.

Greg Clark, business and energy secretary said, “The government is committed to ensuring the National Minimum Wage works for both employees and employers, which is why we continue to work with business to create an environment in which they can thrive. Today’s changes will ensure low paid workers get their largest pay increase since the recession and employers have an obligation to make sure their staff are being paid appropriately.”

The government has increased HMRC’s budget by £7m this year to £20m, strengthening its ability to crack down on employers who fail to pay the national minimum and living wage.

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