Minimum wage increase forthcoming

IMPACT — MEDIUM

The Home Office announced that it will increase the minimum wage by more than 9% in April 2023.

Key Points:

• The United Kingdom’s hourly national minimum wage will increase from £9.50 to £10.42 for workers over the age of 22.
• The new minimum wage will take effect April 1, 2023.
• The new minimum wages for those under the age of 23 are available here.

Additional Information: The minimum wage is relevant to all workers in the United Kingdom, whose wages cannot be lower than the minimum wage. Foreign workers must be paid above the minimum wage.

BAL Analysis: Businesses may see a slight increase in labor costs because of the new minimum wage. Employers should take the new wage minimums into account when planning their 2023 budgets.

This alert has been provided by the BAL Global Practice Group. For additional information, please contact berryapplemanleiden@bal.com.

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