The National Living Wage for 2020/21
Posted on 20th April 2020 at 13:47
The national living wage (NLW) increases this month by 6.2% to £8.72 per hour for people aged 25 and over. The government says the longer-term goal is a living wage of more than £10.50 per hour within the next five years.
The national minimum wage (NMW) will apply if you’re aged 24 and under.
Current national living wage rates for 2020/21
The rates change every April. Here are the NLW and NMW rates for 2020/21.
|
Year |
25 and over |
21 to 24 |
18 to 20 |
Under 18 |
Apprentice |
|
April 2020 (current rate) |
£8.72 |
£8.20 |
£6.45 |
£4.55 |
£4.15 |
|
April 2019 to March 2020 |
£8.21 |
£7.70 |
£6.15 |
£4.35 |
£3.90 |
Who receives the NLW and NMW
These rates apply to people who are:
part-time
casual labourers, for example someone hired for one day at a time
agency workers
workers and homeworkers paid by the number of items they make
apprentices
trainees and workers on probation
disabled workers
agricultural workers
foreign workers
seafarers
offshore workers.
Apprentices
The apprentice rate applies for people who are either:
aged under 19
aged 19 or over and in the first year of an apprenticeship.
For example, an apprentice aged 22 in the first year of their apprenticeship will be entitled to a minimum hourly rate of £4.15. If they have completed the first year of their apprenticeship, they will be entitled to a minimum hourly rate of £8.20.
Who doesn’t receive the NLW or NMW
Your employment status and other categories of work might mean that you don’t qualify for the NLW or NMW. This affects:
self-employed people running their own business
company directors
volunteers or voluntary workers
workers on a government employment programme
members of the armed forces
family members of an employer who live in the employer’s home
non-family members living in the employer’s home who share in work and leisure activities, are treated as one of the family and are not charged for meals or accommodation, such as au pairs for example
workers younger than school leaving age (usually 16)
students in higher and further education, in work experience or a work placement for up to one year
people shadowing others at work
people on government pre-apprenticeship schemes
people working on a Jobcentre Plus Work trial for up to six weeks
share fishermen
prisoners
people living and working in a religious community.
You can use the government’s minimum wage calculator to check your entitlement.
Please get in touch if you would like to know more about NLW and NMW.
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