Minimum Wage Changes And Proposed Holiday Calculations : Are You Ready?

We have come to expect the changes to the national minimum wages and national living wage now that they've been steadily increasing in recent years. The current rates expected to go live on the 1st of April 2020 show the following:

Over 25 - £8.72 per hour (a rise of 51p)

21-24 - £8.20 per hour ( a rise of 50p)

18-20 - £6.45 per hour (a rise of 30p)

16-17 - £4.55 per hour (a rise of 20p)

Apprentice wage - £4.15 per hour (a rise of 25p)

There is also a second change to the wages this year which is proposed to go live at the same time.

If you had workers that had varied hours per week then holiday calculations have, on the whole, been calculated using the rolling 12 week average hours for workers.

From this April that is expected to change to a 52 week rolling period. This is to work out any exceptional instances of working over allocated hours or under them. Payroll staff will be expected to call upon the last year's worth of data to work out the average /daily/weekly/monthly hours worked for holiday accruals.

Payroll information is always available at gov.uk