March Newsletter Statutory Pay Changes
The national minimum and living wage are reviewed annually and any changes take place from 1 April. All workers (except those who are genuinely self-employed) are entitled to receive the NMW/NLW. Failing to comply can result in an enforcement notice requiring the employer to pay the difference between what was actually paid and what the worker should have received under the NMW legislation. Further non-compliance could result in the issue of a penalty notice and financial penalties.
The rates from 1 April 2023 will be:
23+ year olds = £10.42
21-22 year olds = £10.18
18-20 year olds = £7.49
16-17 year-olds = £5.28
Apprentices = £5.28 (under 19 or over 19 and in first year of the apprenticeship)
It is important for employers to be aware of important birthdays (as staff may move within pay bands) and must be paid according to the above rates.
Aside to the above there is also a ‘Real Living Wage’. The Living Wage Foundation was created in 2011, launching the UK Living Wage rate and encouraging organisations to pay a higher minimum wage as a benefit for both themselves and staff. Only those who opt-in to the scheme are required to pay the voluntary Living Wage, although other businesses can choose to pay the higher rates.
The current Real Living Wage is £11.95 an hour for London and £10.90 an hour for rest of UK. Employers committed to this rate have until 14 May 2023 to implement this.
Other Statutory Pay Rate Increases
Family-friendly payments
It is expected that from 2 April 2023 (exact date yet to be confirmed), statutory maternity, paternity, adoption, shared parental, and parental bereavement pay will increase as per below:
| Payments | Current rate | From April 2023 |
| Statutory shared parental pay (ShPP)
Statutory rate or 90% of employee’s weekly earnings if this is lower. |
£156.66 | £172.48 |
| Statutory maternity pay (SMP)
First six weeks – 90% of employee’s average weekly earnings. Remaining weeks at the statutory rate or 90% of employee’s weekly earnings if this is lower. |
£156.66 | £172.48 |
| Statutory adoption pay (SAP)
First six weeks – 90% of employee’s average weekly earnings. Remaining weeks at the statutory rate or 90% of employee’s weekly earnings if this is lower. |
£156.66 | £172.48 |
| Statutory paternity pay (SPP)
Statutory rate or 90% of employee’s weekly earnings if this is lower. |
£156.66 | £172.48 |
| Statutory parental bereavement pay (SPBP)
Statutory rate or 90% of employee’s weekly earnings if this is lower. |
£156.66 | £172.48 |
Statutory sick pay
All employees, irrespective of age, are entitled to claim statutory sick pay as long as they have average earnings of at least £123 per week. SSP will increase as specified below:
| Payment | From 6 April 2022 | From 6 April 2023 |
| Statutory sick pay | £99.35 | £109.40 |
| Lower earnings limit (per week) | £123 | £123 |
Changes to fit notes from 1 July 2022
Since 1 July 2022 nurses, occupational therapists, pharmacists, and physiotherapists have been able to sign fit notes, alongside doctors (prior to July 2022, only doctors had been able to sign). To do this, they must be working in a general practice or hospital setting. This means they must be based either in-house at a GP surgery or working within a hospital; those working in chemists or private businesses cannot sign these.
