National Living Wage
The Low Pay Commission (LPC) has published its 2019 summary of findings report, which provides a brief outline of the LPC’s recommendations on the National Living Wage (NLW) and the National Minimum Wage (NMW). The authors of the report also set out the evidence underpinning the LPC’s recommendations, which have now been accepted in full by the government. According to the government, its acceptance of the recommendations will allow it to achieve its 2015 target of ‘raising the NLW to 60% of median earnings’. The recommendations will see the national living wage rate increase from £8.21 to £8.72 in April 2020. The LPC will publish a full report on its recommendations in early January 2020.
The NMW rate will also increase for all age groups. This includes the following:
• for 21–24 year olds the NMW rate will increase from £7.70 to £8.20
• for 18–20 year olds the NMW rate will increase from £6.15 to £6.45
• for under 18s the NMW rate will increase from £4.35 to £4.55
• for apprentices the NMW rate will increase from £3.90 to £4.15