Businesses Risk Minimum Wage Fines As April Approaches
UK businesses risk being caught out as the National Minimum Wage approaches its second compulsory rise in six months this April.
The Government now has powers to fine businesses up to 200% of the wages owed, with a minimum payment of £100 per worker, if they are found to be paying less than the minimum wage. Additionally, should a company be found to be paying below this amount, the company director risks being banned for up to 15 years.
Over the past year, 58,000 workers were recorded as being owed wages by their employers, more than doubling the 26,000 recorded in 2014-15.
Some of the more well-known companies to be named as not paying employees the correct amount include Brighton and Hove Albion Football Club, Monsoon and Accessorize.
From April 1st 2017, the National Minumum Wage bands are as followed:
|25 and over||21 to 24||18 to 20||Under 18||Apprentice|
The rate for workers aged 25 and over is referred to as the national living wage (NLW), and is currently at a rate of £7.20, rising by 30p per hour from April.
Having the Right Payroll Software
The world of business is fast paced, and it’s important that your business has payroll software that can keep up with legislative changes such as the annual minimum wage increases.
IRIS Payroll Business is user-friendly, intuitive and powerful payroll software for small and medium-sized businesses. IRIS software is regularly updated, helping you to stay on the right side of legislation, whilst also being user-friendly enough to easily manage bulk changes such as the annual National Minimum Wage or salary increases past the minimum wage if required.
Book yourself on to a free, no-obligation software demonstration of IRIS Payroll Business using the buttons at the top and bottom of this blog, and learn how the software can save you time and hassle when running your payroll.