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1. National Min Wage


1. The national Minimum wage

What is National Minimum Wage, this is the min. hourly rate all workers are entitled to by law, the rate usually changes each year in October after the budget announcement.
It does not matter what industry you are in or how small you are as an employer of staff you have to comply.
The rate of minimum wage is set by the employee’s age and an amended rate if they are an apprentice.
There are calculators available to check the rates of pay for compliance: https://www.gov.uk/am-i-getting-minimum-wage

There are however different ways of checking that workers are getting the minimum wage these are;
– Paid by the hour (AKA ‘time work’)
– Paid an annual salary (AKA ‘salaried hours’)
– Paid by the piece (AKA ‘output / out work)
– Paid in other ways (AKA ‘unmeasured work’)

When calculating the hours to be paid you will need to know what counts as working time.
A quick reference can be split as below;

Include time spent;
– Time spent at work and required to be working this would include been on standby near the workplace but will not include rest breaks taken.
– Time spent at work through idle time ie. as a result of machine breakdown but required to stay at work.
– Time spent waiting to collect goods, meet someone work related or to start a new job.
– Traveling for work including traveling between work sites.
– Training and traveling to training during normal working hours.
– Working during sleep time, if an employer provides a place to sleep.
Do NOT include time spent:
– Commuting, traveling to and from home to work.
– Away from work due to rest breaks, holidays, sick leave or maternity leave.
– Away from work due to industrial action (Striking)
– At the place of work during the time when workers are meant to be sleeping if sleeping quarters are supplied by the employer.

Below is a quick reference table of the minimum wage rates for the past five years;
Min Wage

If you have any questions in regard to the above please feel free to email me.

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