Statutory Instruments
2016 No. 68
Terms And Conditions Of Employment
The National Minimum Wage (Amendment) Regulations 2016
Made
22nd January 2016
Coming into force
1st April 2016
A draft of these Regulations was laid before Parliament in accordance with section 51(5) of the National Minimum Wage Act 1998( 1 ) and approved by a resolution of each House of Parliament.
The Secretary of State, in exercise of the powers conferred by section 1(3), 3, 19A(8)(a) and 51(1) of the National Minimum Wage Act 1998( 2 ) makes the following Regulations.
Citation and commencement
1. —(1) These Regulations may be cited as the National Minimum Wage (Amendment) Regulations 2016.
(2) These Regulations come into force on 1st April 2016.
Amendment to the National Minimum Wage Act 1998
2. In section 19A(5A)( 3 ) of the National Minimum Wage Act 1998 (notices of underpayment: financial penalty), for “100%” substitute “200%”.
Amendment to the National Minimum Wage Regulations 2015
3. For regulation 4 (national minimum wage rates) of the National Minimum Wage Regulations 2015( 4 ) substitute—
“ The national living wage
4. The single hourly rate of the national minimum wage for the purposes of section 1(3) of the Act (“the national living wage rate”) is £7.20.
Workers who qualify for the national minimum wage at a different rate
4A. —(1) The hourly rate of the national minimum wage is—
(a) £6.70 for a worker who is aged 21 years or over (but is not yet aged 25 years);
(b) £5.30 for a worker who is aged 18 years or over (but is not yet aged 21 years);
(c) £3.87 for a worker who is aged under 18 years;
(d) £3.30 for a worker to whom the apprenticeship rate applies, as determined in accordance with regulation 5.
(2) If the rate in paragraph (1)(d) applies to a worker, the national living wage rate and the rates in paragraph (1)(a), (b) and (c) of this regulation do not apply to that worker.
Determining the applicable national minimum wage rate
4B. The hourly rate of the national minimum wage at which a worker is entitled to be remunerated as respects work, in a pay reference period, is the rate which applies to the worker on the first day of that period. ” .
Transitional provision
4. The amendment made by regulation 2 does not apply in respect of a pay reference period( 5 ) which begins before 1st April 2016.
Nick Boles
Minister of State for Skills
Department for Business, Innovation and Skills
22nd January 2016
Section 3(1A) was inserted by S.I. 1999/583 and amended by S.I. 2007/2042 ; section 19A(8) was inserted by section 9(1) of the Employment Act 2008 (c.24) and amended by section 152(5) of the Small Business, Enterprise and Employment Act 2015 (c.26) ; section 51 was amended by the Employment Act 2008, sections 9(3) and 20 and Part 2 of the Schedule to that Act.
Section 19A(5A) was inserted by section 152(3) of the Small Business, Enterprise and Employment Act 2015.
S.I. 2015/621 , amended by S.I. 2015/971 and S.I. 2015/1724 .
Section 1(4) of the National Minimum Wage Act 1998 provides that a “pay reference period” is such period as the Secretary of State may prescribe. “Pay reference period” has the meaning assigned to it by regulation 6 of the National Minimum Wage Regulations 2015 ( S.I. 2015/621 ).