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National minimum wage – What does the increase mean for you?

Paystream News

Thursday 29th Sep, 2016

As everyone will be aware the National living wage came into effect this April for those over the age of 25 and is not due for another increase until April 2017. However, the national minimum wage for those under 25 is due to increase on the 1st October 2016. We've highlighted the new rates below.

This will be a welcome boost in earnings for young people across the UK, but businesses on the other hand will feel a further squeeze on costs. As expected the increase in national minimum wage has caused mixed feelings. On the one hand many feel that the increases are not enough and young people should be paid more. On the other, many argue that the increase will simply mean labour is unaffordable and there will be fewer job opportunities as a result.

With further increases planned over the next few years it will interesting to see what the actual impact of these changes will be.