The new rates that come into force on 1 April 2018 are:
- £7.83 National Living Wage for 25 year old and over.
- £7.38 for 21 to 24 year olds.
- £5.90 for 18 to 20 year olds.
- £4.20 for 16 and 17 year olds.
- £3.70 for apprentices aged 16 to 18 and those in their first year aged 19 or over.
John Hannett - Usdaw General Secretary says: “We welcome this pay rise for the millions of low-paid workers who rely on the National Minimum Wage and the National Living Wage. The minimum wage is a basic rate and employers should be seeking to pay higher rates than this. In the companies where Usdaw negotiates wages, we are encouraging employers to work towards and beyond the Living Wage Foundation rate of £8.75 per hour or £10.20 in London.
“Employers need to be vigilant and review their working practices to ensure that their staff are paid at least the minimum rate for the time they are in work. Failure to comply can result in hefty fines, repaying staff the money owed and being named and shamed by the Government.”
Examples of working practices that could lead to a failure to comply with minimum pay rates:
- Requiring staff to undergo security checks, briefing meetings or other mandatory activities outside of paid hours.
- Failing to account for salary sacrifice schemes.
- Rounding up docked pay for lateness.
- Requiring staff to pay for uniform, including clothing from the store they work at.
- Including allowances like London weighting, shift pay, unsocial hours payments and overtime premium payments.
Notes for editors:
Usdaw (Union of Shop, Distributive and Allied Workers) is the UK's fifth biggest and the fastest growing trade union with over 430,000 members. Membership has increased by more than 28% over the decade. Most Usdaw members work in the retail sector, but the union also has many members in transport, distribution, food manufacturing, chemicals and other trades.
For Usdaw press releases visit: http://www.usdaw.org.uk/news and you can follow us on Twitter @UsdawUnion