Many workers in the UK will see an increase to their pay slips as the National Minimum Wage (NMW) and the National Living Wage (NLW) for those aged 23 and over, increases with effect from 1 April 2023.
| New National Minimum Wage and National Living Wage Rates
The new rates with effect from 1 April will be as follows:
- Age 23 and over (NLW) – £10.42 per hour (currently £9.50)
- Age 21 – 22 (NMW) – £10.18 per hour (currently £9.18)
- Age 18 – 20 (NMW) – £7.49 per hour (currently £6.83)
- Age 16 – 17 (NMW) – £5.28 per hour (currently £4.81)
- Apprentice rate (NMW) – £5.28 per hour (currently £4.81)
| Other increases
Other changes coming in later in April include:
- Statutory maternity pay (and other family leave including paternity, SPL and adoption pay) – increasing from £156.66 to £172.48 per week effective 10 April 2023
- Statutory Sick Pay – increasing from £99.35 to £109.40 per week effective 10 April 2023
- Maximum statutory redundancy payment and the maximum unfair dismissal basic award – increasing from £17,130 to £19,290 effective 6 April 2023
- Cap on unfair dismissal compensation award – increasing from £93,878 to £105,707 effective 6 April 2023
Employers should be aware of all these changes, particularly if your business is looking at potential redundancies and the significant increase in costs this process may now incur.
If you have any questions regarding how the National Minimum Wage increase will impact your business, contact Natalie Saunders on 0800 988 7756.
