The NMW rates will increase from 1 October 2013:
• the adult rate (21 years plus) will increase by 12p to £6.31 an hour
• the 18-20 year old rate will increase by 5p to £5.03 an hour
• the 16-17 year old rate will increase by 4p to £3.72 an hour
• the apprentice rate will increase by 3p to £2.68 an hour.
NMW ‘naming and shaming’ scheme
Employers who break NMW rules are liable to be ‘named and shamed’ under an existing Department for Business, Innovation and Skills scheme. Prior to 1 October 2013, they had to owe at least £2,000 to workers – and owe an average £500 per worker – before being named. However, new rules in effect from 1 October 2013 remove these restrictions.
As well as being named, employers who pay workers less than the minimum wage will continue to pay back arrears of wages at current minimum wage rates and face financial penalties of up to £5,000.