PAY UP
Thousands could be missing out on a pay rise – check your wages now to see if you’re missing out
Plus, we've explained how to report missed pay
THOUSANDS of workers could be missing out on a pay rise.
The minimum wage increased earlier this month, and the government is encouraging employees to check they're being paid correctly.
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Workers aged 21 and over should now earn £11.44 an hour as a minimum.
The new rates apply to everyone and are different based on your age, including whether you are in an apprenticeship role.
HMRC has urged workers to check their wages, irrespective of you being in a full-time, part-time or temporary role.
A statement on the government's Checkyourpay website reads: "Your employer should pay you the correct hourly rate for your age. It's the law."
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If you're unsure about your own wage, there's a simple government tool available at www.checkyourpay.campaign.gov.uk that you can use online to check if you're earning what you're entitled to.
Sarah Coles, head of personal finance at Hargreaves Lansdown, said: "The minimum wage and national living wage have made a major difference to the incomes of those on lower wages.
"However, not all employers are following the rules and keeping up with rises.
"At the start of this month, the national living wage jumped almost 10% and expanded to include workers as young as 21, so it's worth using the tool to check you're being paid fairly.
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"If you're not being paid enough, you can have an informal conversation with your employer to ask for a pay rise.
"You can take a printout of the calculator to prove what you should be paid. If you don't have any luck, you can call the Acas helpline on 0300 123 1100.
"They'll check what you're entitled to, and run through your options with you."
What are the national minimum wage rates?
THE National Minimum Wage is the amount workers under 21 (but of school-leaving age) are entitled to.
The National Living Wage is paid to workers 21 and over.
Exactly what you'll get depends on how old you are.
Here are the rates that came into force on April 1, 2024:
- Those aged 21 and over - £11.44
- For 18 to 20-year-olds - £8.60
- 16 to 17-year-olds - £6.40
- The apprentice wage - £6.40
How to check if you've been underpaid
There are various reasons why you might not receive the national minimum wage when you should, despite the fact that it is illegal.
For example, unpaid working time can cause your hourly rate to drop below the minimum level.
This includes overtime, training time or being asked to arrive early.
Your boss might not raise your salary when the rates increase every April or if you move into a higher wage bracket as you get older.
If you've had to buy a uniform for work, that can drag you below the minimum wage, too.
You can use the government's new calculator by visiting checkyourpay.campaign.gov.uk to check you're getting the correct amount based on your salary.
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How to get the money you're owed
There are two approaches you can take if you think you're being underpaid.
You can anonymously
As part of the claim, you'll be asked for some personal details and questions about your complaint.
You should agree to let HMRC contact you as it might need more information to move your claim forward.
The tax office will launch an investigation if it has enough information and will take action if it determines that you have been underpaid.
It can make your boss repay you the amount that's missing, and this can be backdated by six years at the current minimum wage rate.
Your colleagues will also get a refund if they've been affected.
HMRC could also fine your employer or take it to court if it refuses to pay out.
These investigations can take several months, so it's not the quickest option to get the money you're owed.
The other option is to have an informal conversation with your boss.
Consider whether you want to receive back pay or just be paid a higher rate going forward.
It will be helpful to have evidence of your claim including payslips and an idea of how much you have been underpaid.
If an informal chat doesn't work, you can make a formal complaint - check how to do this with your company's HR department.
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Following that, your final option is to take the company to an employment tribunal.
You can find out more about how to do this on MoneySavingExpert.com or by checking with Citizens Advice.
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