Each year the Government publish the statutory rates that employers must use together with details of the basic rights that apply to all employees. Below are the rates that apply to Pay and Redundancy Entitlement. These rates are effective from 1st April 2023.
NATIONAL LIVING WAGE
If you are 23 years or over, the minimum you should be paid from April 2023 is £10.42 per hour.
NATIONAL MINIMUM WAGE
If you are between 21 and 22 years of age, the minimum you should be paid from April 2023 is £10.18 per hour.
If you are between 18 and 20 years of age, the minimum you should be paid from April 2023 is £7.49 per hour
If you are between 16 and 17 years of age, the minimum you should be paid from April 2023 is £5.28 per hour
If you are on a recognised Government Apprenticeship Scheme, from April 2023 you should be paid £5.28 per hour if under the age of 19 or over 19 but in your first year of the Apprenticeship. If you are a ‘trainee’ but not working under a formal Apprenticeship Scheme, you should be paid the minimum hourly rate relative to your age.
REDUNDANCY ENTITLEMENT
Redundancy pay is capped at a maximum of £571 per week (from April 2022) and based on your age and length of service at the time that you are made redundant up to the maximum of 20 years continuous employment.
For years worked up to the age of 21, you are entitled to half a week’s pay per full year worked
For years worked between the age of 22 and 40, you are entitled to one week’s pay per full year worked.
For years worked from the age of 41, you are entitled to one and a half week’s pay per full year worked.
From April 2022, the maximum redundancy pay you can get is £17,130.
If you would like to work out what a Statutory Redundancy Payment would be for an employee, follow this link.
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