National minimum wage increases

Mark Minns, 7 June 2009

The Government has announced small increases in the national minimum wage which are to take effect in October 2009.

There are currently three different categories of minimum wage, as set out below.

> The standard rate for workers aged 22 or over. The current minimum hourly rate is £5.73.

> The development rate for workers aged between 18 and 21. The current minimum hourly rate is £4.77.

> The young worker’s rate for workers aged under 18. The current minimum hourly rate is £3.53.

The rates that are to apply from 1st October 2009 are as follows.

> Standard rate - £5.80.

> Development rate - £4.83.

> The young worker’s rate - £3.57.

Employers that pay their staff at the minimum wage level should ensure that they update their systems such that the new rates are paid with effect from 1st October 2009.