Minimum Wage Increases Affecting Businesses
05 October 2015
With the adult rate of the national minimum wage (NMW) having risen by 20p to £6.70 on 1 October 2015, many small businesses are affected.
Small businesses contained 37% of workers who were paid the NMW.
Businesses concerned about the effects of the rise in the NMW can take the following steps:
- use the government's pay and work rights helpline, ACAS, which provides free and confidential advice to employers, employees and their representatives on employment rights, best practice and policies, and resolving workplace conflict. Telephone helpline: 0300 123 1100 or online help http://www.acas.org.uk/index.aspx?articleid=4489
- reassess your outgoings and prices to balance the increase in your wage bill
- review your payroll to ensure compliance and all of the employee information (especially ages) is correct.
As well as the change to the adult NMW rate:
- the apprentice rate increased by 57p to £3.30
- the rate for 18 to 20 year olds rose by 17p to £5.30
- those aged 16-17 are to be paid £3.87, an increase of 8p
- the accommodation offset rose from £5.08 to £5.35.
Discuss your employer obligations with Aine O’Hagan in our Taxation department (Payroll Manager) today. http://www.dalypark.com/our-team/Managers/Aine-O´Hagan