Minimum wage for apprentices - what you need to know
15 September 2021
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All apprentices in the UK are entitled to be paid at least the National Minimum Wage. However, it is estimated that around one in five apprentices may not be paid correctly.
It’s important that apprentices and their employers understand their rights and obligations around the National Minimum Wage.
For apprentices (see below for information for employers)
Make sure you know how much you should be paid and what you can do if you think you’re underpaid.
Watch out for the following common mistakes which can lead to minimum wage underpayment:
- If you’re aged 19 and over and have completed the first year of your apprenticeship you are entitled to the higher minimum wage rate for your age group, not just the £4.30 apprentice rate
- You should only be paid the apprentice rate of £4.30 once you have officially started your apprenticeship and not after it ends
- You must be paid for all training time no matter whether this training takes place at work, college or elsewhere
- If you think you haven’t been paid correctly, you can report this to HMRC. Reporting is simple, can be made anonymously or even on behalf of someone else: www.gov.uk/minimum-wage-complaint
If you would prefer to talk your situation through with someone on the phone first, you can call the Acas Helpline on 0300 123 1100. You do not have to give your name if you don’t want to.
Find out more, including the higher minimum wage rates for the different age groups, on the Check your pay website.
Myth buster
Myth: Training time doesn’t count as working time.
Truth: All training time counts as working time for minimum wage purposes and must be paid at least the minimum wage rate.
Myth: All apprentices should be paid the £4.30 apprentice rate.
Truth: If you’re an apprentice aged 19 and over and have completed your first year you should get at least £6.56 per hour, if not more depending on your age.
Myth: If you’re paid the correct minimum wage rate you don’t need to worry about National Minimum Wage underpayment.
Truth: You may be surprised that you could still be underpaid if you’re not paid for all the time you worked, or if your employer is making wage deductions.
Myth: Reporting underpayment to HMRC is too difficult and not worth your time.
Truth: Reporting can be done online and takes less than 5 minutes. From April 2020 to March 2021 workers received over £16.7m in back pay.
Myth: It’s ok for your employer to pay you the £4.30 apprentice rate before or after your apprenticeship starts/ends.
Truth: If you haven’t started your apprenticeship, you are legally entitled to receive the higher minimum wage rate for your age group. You can check the rates on the Check Your Pay website
For employers
As an employer of apprentices, you have a legal responsibility to ensure you’re paying them at least the National Minimum Wage. Mistakes can be easy to make but there is help and advice available to get it right.
When paying your apprentices make sure you’re not making the following common minimum wage mistakes:
- If an apprentice is aged 19 and over and has completed the first year of their apprenticeship, they are entitled to the higher minimum wage rate for their age group
- An apprentice can only be paid the apprentice rate of £4.30 once they have officially started their apprenticeship and not after it ends
- All training time must be paid no matter whether this takes place at work, college or elsewhere - the training can even be outside normal working hours
- Employers can get help and advice on paying the correct minimum wage by:
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