Increase in the National Minimum Wage, Maternity Pay, Adoption Pay and Sick Pay Rates
9th June 2023
Increases to some of the basic statutory minimum payments have been announced. These include increases to the National Minimum Wage, Sick Pay, and various statutory leave-related pay (including maternity pay and pay during other forms of family-related leave).
The Minimum Wage rates increase from the 1st April 2023. It is somewhat confusing that the Government now has different rates for the National Minimum Living Wage and those for the National Minimum Wage. In addition, a common source of confusion is the fact that the relevant rates are fixed by reference to the age of the worker involved.
From the 1st April 2023 the rates are as follows:-
|
Worker’s
age
|
Hourly
rate
|
Previous
rate (ie pre April 2023)
|
|
23yrs
& over
|
£10.42
|
£9.50
|
|
21 to 22
yrs
|
£10.18
|
£9.18
|
|
18 to 20
yrs
|
£7.49
|
£6.83
|
|
16 to 17
yrs
|
£5.28
|
£4.81
|
|
Apprentices
rate
|
£5.28
|
£4.81
|
The above rates indicate that the Government accepted in full the recommended rates from the Low Pay Commission.
Statutory Sick Pay
From 6th April 2023 the relevant weekly rate is as follows:-
£109.40 (previously £99.35)
Statutory Maternity Pay
There are certain qualifying criteria for entitlement. The period of payment is a total of 39 weeks. The first 6 weeks will be payable at 90% of the employee’s normally weekly pay, followed by 33 weeks at the rate of £172.48 (previously set as £156.66) or 90% of their average weekly pay- whichever is lower.
Adoption Pay/ Paternity Pay/ Shared Parental Leave Pay/ Parental Bereavement Pay
From the 2nd April 2023 the flat rate weekly pay for these is as follows:-
£172.48 (was previously £156.66 per week)
If you need any further advice on any matter raised in this article do not hesitate to contact us at Hallett Employment Law Services Ltd.