On 1 April 2018, the national living wage increased to £7.83 per hour for employees aged over 25. On that date the national minimum wage also increased to £7.38 per hour for employees aged 21 and over, to £5.90 for employees aged 18-20 and to £4.20 for workers aged 16-17. In addition there is an apprentice rate of £3.70 per hour.
Beware of the new penalties!
Please also be aware that the Government has a policy to enforce the national minimum wage, and if an employer has breached the regulations, they will issue a notice of underpayment, together with a penalty of 200% of the underpayment. If you are concerned that you may be in breach of the regulations, please contact us in strict confidence for advice.
Nanny wages
Although au pairs and domestic workers living with a family can be exempted from the minimum wage requirements, this is only when they live as part of the family and share in tasks and leisure activities on the same basis as the family.
Therefore most live-in nannies are not exempted from the national minimum wage requirements, in which case the minimum that employers need to pay is as per the rates stated above, minus the accommodation offset of £7.00 for each day worked.
