4. RIGHTS TO PAY AND CONDITIONS

The National Minimum Wage

Under the National Minimum Wage Act 1998, UK workers have the right to a minimum wage, currently set at £6.19 an hour for those aged 21 or over (£6.31 from 1 October 2013). Young people aged 18 to 20 get a lower hourly rate of £4.98 (£5.03 from 1 October 2013). Sixteen and 17-year-olds have a lower rate of £3.68 an hour (£3.72 from 1 October 2013), and apprentices under the age of 19 or in the first year of their apprenticeship must be paid at least £2.65 an hour (£2.68 from 1 October 2013).

For an employer to be allowed to pay the lower “apprenticeship” rate, there must be a genuine Apprenticeship Agreement in place. In particular, training is the main purpose of an apprenticeship and working is secondary. Apprenticeship is now regulated by a statutory framework. For more information see Chapter 2: Categories of worker — Apprenticeships.

An employer providing accommodation can count some of its value towards minimum pay — currently up to £4.82 per day or £33.74 per week (£4.91 per day and £34.37 per week from 1 October 2013). Guidance explaining the accommodation offset is available online at: www.gov.uk/national-minimum-wage-accommodation