2 days ago
New Rates of National Minimum Wage
A brief reminder of forthcoming increases to the National Minimum Wage and other employment rates
From 1 April 2021, the National Minimum Wage increases as follows:
Rates | 2020 | 2021 |
National Living Wage (now age 23+) | £8.72 | £8.91 |
Adult rate (now age 21-22) | £8.20 | £8.36 |
Development rate (age 18-20) | £6.45 | £6.56 |
Young workers rate (age 16-17) | £4.55 | £4.62 |
Apprentice rate | £4.15 | £4.30 |
The adult rate previously applied to those aged 21-24, with the National Living Wage applying to those age 25 and over. From 1 April 2021 the adult rate only applies to those aged 21-22, with anyone age 23 and over receiving the National Living Wage.
The National Minimum Wage does not apply to furlough payments.
From 4 April 2021, the weekly rate of statutory maternity, paternity and adoption pay will increase to £151.97.
Finally, from 6 April 2021, the cap on one week’s pay for calculating statutory redundancy payments will increase from £538 to £544.
If you have any employment law related questions, please contact Trula Brunsdon on 01242250039 or at trula@sherborneslaw.co.uk.