Advice for employers on minimum wage
The national minimum wage rate is a legally-enforced standard that ensures employees are paid what they deserve. It was introduced in the UK in 1999, and today over 90 per cent of the world's countries have some minimum wage laws in place. All sizes of company and almost all types of work are subject to this law, and any business found to be paying under the minimum wage could face severe repercussions. Here, Peninsula provides advice for employers on who should be paid minimum wage.
What is the UK minimum wage?
National minimum wage increases on a regular basis to keep income in line with inflation. As of 1 October 2011, UK minimum wage is as follows:
| Age range | Minimum wage entitlement |
| 21 and over | £6.08 per hour |
| 18-20 year olds | £4.98 per hour |
| 16 and 17 year olds | £3.68 per hour |
National minimum wage applies to foreign workers, people who work from home, trainees, and agency workers. However, these figures do not apply for company directors, members of the armed forces, or self-employed people. Meanwhile, there are different sets of rules for apprenticeships and for agricultural workers. It's certainly a complicated area, but one that is vital for employers to get right.
How Peninsula can help with minimum wage legislation
As part of Peninsula's HR outsourcing services, clients can call a 24 hour legal advice line to ask about minimum wage and pay issues whenever they want. This is not an automated, one-size-fits-all service; you'll be speaking to a qualified employment law specialist, who will be able to offer bespoke advice for your specific circumstances.
Alternatively, we hold regular employment law seminars and training sessions where employers or HR managers can find out everything they need to know about national minimum wage, along with other vital aspects of employment law. Furthermore, clients will be informed well in advance of any changes to the minimum wage law, and advised on its correct implementation.
Keeping up-to-date with national minimum wage law is essential. It may be your legal duty as an employer, but it also ensures your employees are fairly paid for all their hard work and can afford the rising cost of living.
