The Government has announced an increase in the National Minimum Wage (NMW) for adult workers aged 22 and over to £5.80 an hour, an extra 7p per hour. The NMW for 18 to 21-year-olds will rise to £4.83 and for 16 and 17-year-olds the NMW will be £3.53. The increases will take effect in October and were based on recommendations from the independent Low Pay Commission.
In the Budget the Chancellor of the Exchequer announced a one-off increase for statutory redundancy pay from £350 to £380 per week. As yet no effective date has been announced and it is not clear whether there will also be the regular indexed type of increase next February. The Chancellor’s announcement also indicated that the Government was considering whether to propose a minimum statutory redundancy payment. For further advice contact us