National Minimum Wage

The National Living Wage and National Minimum Wage are the lowest rate of pay per hour that a worker must be paid by law. It does not matter how many workers you employ, you must pay the correct minimum wage.

You can find the current rates for 1 April 2023 to 31 March 2024 at National Minimum Wage and National Living Wage rates.

However, it is not just as simple as making sure the correct minimum wage rate has been paid. There are several ways in which underpayments can occur when minimum wage calculations are made. Common issues include unpaid working time, unpaid travelling time and deductions from pay for items or expenses connected with the job.

Find out more information on the common issues that can bring workers below the minimum wage.

Employing an intern or anyone on work experience

It is important to establish the nature of the relationship between the individual and the employer when deciding if the individual is a worker or not for minimum wage purposes.

Entitlement to the minimum wage does not depend on how someone’s role is defined by their employer.

Interns

Internships are sometimes understood to be positions requiring a higher level of qualification than other forms of work experience and are associated with gaining experience for a professional career.

Although the term intern is not defined in minimum wage legislation, if any payment or remuneration is made for work done, an intern is likely to be regarded as a worker for minimum wage purposes. An intern may also be considered as a worker if they are promised a contract of future work or future pay.

Work experience

The term work experience generally refers to a specified period that a person spends with a business, providing them with an opportunity to learn directly about working life and the working environment.

More information is available on GOV.UK:

· for guidance about minimum wage — work experience and internships

· for guidance on calculating the minimum wage correctly

· if you make a mistake, you can make a voluntary declaration

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National Minimum Wage Increase

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Paying employers’ PAYE