Tool reveals whether you’re one of almost half a million workers set to get a 5% pay rise this year
A TOOL reveals whether you’re one of nearly 500,000 workers set for a 5% pay rise in 2025.
Employers have a legal responsibility to pay staff the National Minimum and Living Wages, starting from £6.40 an hour.
But over 15,000 businesses across the UK voluntarily pay their staff more under the real Living Wage.
New rates were announced for the real Living Wage last October, but employers have until May 1 to implement them.
Staff outside London will see their pay go up 5% from £12 to £12.60, while those in the capital are seeing it rise by the same percentage from £13.15 to £13.85.
But you might not be aware if you’re a worker entitled to a real Living Wage, which applies to all workers over the age of 18.
Luckily, a tool tells you if your employer is one that offers a bumper pay packet.
You can find it via – www.livingwage.org.uk/accredited-living-wage-employers.
The nifty tool includes a list of all the businesses signed up who offer the real Living Wage.
You can also enter the name of your employer into a search bar to see if it comes up.
Some of the companies signed up include IKEA, Oxfam GB, Aviva and Lush.
It comes after research published by the Living Wage Foundation in October revealed despite inflation slowing, many of Britain’s 3.7million low paid workers are still struggling with the cost of living.
Inflation, which measures how much the price of everyday goods and services is rising, has fallen from record highs of 11.1% in October 2022 to 2.6% in November last year.
The foundation said 42% of low paid workers have less than £10 left each week to cover essential expenses while 39% had used a food bank in the preceding 12 months.
Shockingly, 32% said they had skipped meals due to pressure on their finances.
What is the National Minimum Wage?
The National Minimum Wage (NMW) is the minimum pay per hour for workers who have left school.
As it stands, those who have left school and are aged under 18 must get a minimum of £6.40 an hour.
Meanwhile, the National Living Wage is the minimum wage for those over 21 and is slightly higher.
It was previously only available to those over 23, but this was adjusted to 21 and over in November 2023.
It’s currently worth £11.44 an hour but this will change from April 1, 2025.
Both the National Living and Minimum Wage rise each year so workers’ pay keeps up with the cost of living.
You qualify for the National Minimum Wage if you are of school leaving age, which is usually above 16.
You are eligible for the pay rate if you work full-time or part-time.
Apprentices also qualify for a National Minimum Wage, as well as trainees and staff still in their probationary period.
The rates also apply to disabled workers.
Those who are self-employed, voluntary workers, company directors, and family members who live in the home of the employer and do household chores do not qualify for the minimum wage.
Au pairs, members of the armed forces, and people on a government employment programme are also not entitled to the payment.
National Minimum Wage rates
Below are the current National Minimum Wage rates and what they will rise to from April 1:
- Age 21 or over (National Living Wage) – £11.44, rising to £12.21
- Age 18 to 20 – £8.60, rising to £10
- Under 18 – £6.40, rising to £7.55
- Apprentice – £6.40, rising to £7.55
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