National Minimum Wage

 A reminder to business readers that the NMW rates increased from 1 October 2014; the new rates are:

  • 21 and over £6.50 per hour
  • 18 to 20 £5.13 per hour
  • Under 18 £3.79
  • Apprentice rate £2.73

Don’t forget that HMRC oversees compliance with the NMW regulations. The types of workers who are not entitled to the minimum wage are:

  • self-employed people running their own business
  • company directors
  • volunteers or voluntary workers
  • workers on a government employment programme, e.g. the Work Programme
  • family members of the employer living in the employer’s home
  • non-family members living in the employer’s home who share in the work and leisure activities, are treated as one of the family and aren’t charged for meals or accommodation (e.g. au pairs)
  • workers younger than school leaving age (usually 16)
  • higher and further education students on a work placement up to 1 year
  • workers on government pre-apprenticeships schemes
  • people on the following European Union programmes: Leonardo da Vinci, Youth in Action, Erasmus, Comenius
  • people working on a Jobcentre Plus Work trial for 6 weeks
  • members of the armed forces
  • share fishermen
  • prisoners
  • people living and working in a religious community