Legal Update

Employment Law – New Minimum Wage Proposals Accepted

Following detailed recommendations in a report by the Low Pay Commission in April 2011, the Government has announced that it will accept proposals for increases to National Minimum wage rates, which will take effect from 1 October 2011. 

Unions and employee interests groups have welcomed the intervention, whilst the proposals have received mixed-feedback from employers.

A summary of the increases are as follows:

·         The adult rate will increase from £5.93 to £6.08 an hour;

·         The rate for 18-20 year olds will increase from £4.92 to £4.98 an hour;

·         The rate for 16-17 year olds will increase from £3.64 to £3.68 an hour; and

·         The rate for apprentices will increase from £2.50 to £2.60 an hour.

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© RT COOPERS, 2011. This Briefing Note does not provide a comprehensive or complete statement of the law relating to the issues discussed nor does it constitute legal advice. It is intended only to highlight general issues. Specialist legal advice should always be sought in relation to particular circumstances.