Welcome boost for some of those on the frontline of coronavirus battle as ‘National Minimum Wage’ is introduced

Millions of low-paid workers, many of which are currently on the frontline of the battle against coronavirus will get an increase in their wages as a new National Minimum Wage is introduced.

As of today, April 1, workers who receive the National Living Wage will be given a pay increase of 6.2 per cent, a rise of nearly £1000 a year for a full-time worker.

The rise follows recommendations made to UK Government by the Low Pay Commission (LPC) in the autumn.

It means the current hourly wage of £8.21 will rise to £8.72 for workers aged over 25, younger workers will receive an increase of between 4.6 and 6.5 per cent, depending on their age.

For those aged between 21 and 24 pay will increase from £7.70 per hour to £8.20, up 6.5 per cent.

Wages for 18 and 20 year olds will rise from £6.14 per hour to £6.45.

Under 18s wages rise from £4.35 per hour to £4.55, and apprentice wages will go up from £3.90 to £4.14 per hour.

Commenting on the new national minimum wage rates, TUC General Secretary Frances O’Grady said: 

Bryan Sanderson, Chair of the Low Pay Commission, said:

“Many of the nation’s key workers – in, for example, the care sector, agriculture, transport and retail – are low-paid, are continuing to work in very difficult conditions and will benefit from today’s increase.

At the same time, the Government has introduced a comprehensive package of support for employers to lessen the impacts of these extraordinary circumstances.

Under our new remit, the Government asks us to monitor the labour market and the impacts of the National Living Wage closely, advise on any emerging risks and – if the economic evidence warrants it – recommend that the government reviews its target or timeframe.

This is what the Government refers to as the ‘emergency brake’.

The ongoing Covid-19 pandemic clearly represents a very challenging set of circumstances for workers and employers alike, and will require us to review whether the emergency brake is required when we next provide our advice to the Government.

This advice will be crucially dependent as always on the economic data we receive.”