Decision: Increasing the National Living Wage for individuals over the age of 23 from £8.91 to £9.50 an hour from April 2022.Who this affects: Employers
What this means: The Government is looking to extend certain work schemes including investing over £900 million for each year of the Spending Review on work coaches to help jobseekers on Universal Credit (UC) move into work and support older workers via an enhanced 50+ offer. The UC taper rate is being reduced from 63% to 55%.
As an employer, look out for employment incentive schemes which can help you benefit from the wage increase. For example getting involved with the
Kickstart Scheme which provides funding to employers to create jobs for 16-24 years olds on UC. It may also see an increase in people looking for employment opportunities.
Wage increases from 1 April 2022:
· National Living Wage for age 23 and over: £8.91 to £9.50 an hour
· National Minimum Wage for age 21-22: £8.36 to £9.18 an hour
· National Minimum Wage for 18 to 20-year-olds: £6.56 to £6.83
· National Minimum Wage for under-18s: £4.62 to £4.81
· The Apprentice Rate: £4.30 to £4.81
· National Living Wage for age 23 and over: £8.91 to £9.50 an hour
· National Minimum Wage for age 21-22: £8.36 to £9.18 an hour
· National Minimum Wage for 18 to 20-year-olds: £6.56 to £6.83
· National Minimum Wage for under-18s: £4.62 to £4.81
· The Apprentice Rate: £4.30 to £4.81