Pay attention! ‘The government wants the National Living Wage to be 60% of median earnings by 2020, when it is forecast to be £8.57 per hour’ Credit: Brandon Cook, Trading Standards officer Image: iStock / hchjjl If you employ people, you must pay them the National Minimum Wage – or the National Living Wage if they are aged 25 and over. The National Minimum Wage (NMW) is the amount of money per hour to which most workers aged 16 to 24 are entitled. It is set by the government, which is advised at what level to set the NMW by the Low Pay Commission, an independent body of employers, trade union leaders and academics. The rates, as of April 2019, are: l £7.70 per hour for 21 to 24-year-olds l £6.15 for 18 to 20-year-olds l £4.35 for under-18s l £3.90 for apprentices According to the Low Pay Commission, there are different levels of wage for different ages because younger workers are more at risk of being priced out of jobs than older workers, with worse consequences if they end up unemployed. The legally binding minimum wage for workers aged 25 and over – the National Living Wage (NLW) – is now £8.21 per hour, and, like the NMW, it is reviewed every year. In force since 1 April 2016, the NLW was initially set at £7.20 – around 55% of median hourly earnings (the wage that would be in the middle if the paycheques of everyone in the UK were lined up). The government wants it to be 60% of median earnings by 2020, when it is forecast to be £8.57 per hour. The NLW is distinct from the non-compulsory ‘Living Wage’, which is recommended by independent campaign group the Living Wage Foundation. This is paid voluntarily by employers that choose to and is higher than the NLW. It is calculated each year by independent think tank the Resolution Foundation and is based on the cost of achieving an adequate standard of living. It applies to all workers aged 18 and over, and is currently set at £9 per hour outside of London and £10.55 per hour in London, reflecting the higher costs of living in the capital. While the Living Wage is not legally enforceable, more than 4,000 organisations – ranging from FTSE 100 companies and large local authorities to small businesses and charities – have become accredited Living Wage employers. Businesses must be mindful of minimum wage rates and maximum working hours when taking on staff Employing school-age youngsters There are legal restrictions on when – and in which jobs – school-age children can work. ‘School age’ lasts until the last Friday in June of a young person’s final compulsory year at school. The regulations apply to a student whose 16th birthday comes before this day; they do not end as soon as someone turns 16 or finishes their exams. The law states that school-age children cannot work for more than 12 hours in a school week, including weekends (see panel, below). Children can do all kinds of jobs as long as they are ‘light duties’ only. This includes shop and office work, delivering newspapers and leaflets, hairdressing, working with animals, and light cleaning. The rules do not apply to babysitting or work carried out for neighbours where there is no commercial business involved. Some jobs are not legal until you are 14 – for example, swimming assistant or working on a farm (other than the family farm) – while some jobs are illegal for all children. These include: l Pub work (except serving food) during licensing hours l Factory work or any ‘industrial’ undertaking l Cooking or preparing food in a commercial kitchen (for example, a chip shop or takeaway) l Collecting money door to door l Work more than 3m off the ground l Any work in school time. These rules apply to work for a parent’s business, even without payment. Employing a child without a licence is an offence. Employers must fill in an application form for any child they employ, and the parent/guardian must give permission by signing it. When the employer returns the form to their local authority’s Children Services department, a licence will be issued and a copy sent to the parent/guardian. Children’s work hours School days From 13 to compulsory school leaving age – a maximum of two hours; not before 7am or after 7pm. No more than one hour before school 15 or 16 – eight hours a day (max 35 per week) No more than four hours without a one-hour break; not before 7am or after 7pm. Sundays Saturdays and school holidays 13 or 14 – five hours a day (max 25 hours per week) For further information, please contact your local Trading Standards Service From 13 to compulsory school leaving age – a maximum of two hours between 7am and 7pm. AUTUMN 2019 MINIMUM WAGE