The minimum wage

All employees over the age of 16 must be paid at least the applicable minimum wage.  You can pay your employee whatever rate that you both agree to, so long as it is at or above the statutory minimum wage rate.

There are three minimum wage rates:

  • the full minimum wage applies to all employees aged 16 and over who are not new entrants or trainees
  • the new entrants minimum wage applies to employees aged 16 and 17 except for those who have completed 200 hours or three months of employment (since their 16th birthday), whichever is shorter; or who are supervising or training other workers; or who are trainees
  • the training minimum wage applies to employees aged 16 and over who are doing recognised industry training involving at least 60 credits a year.

If you are paying your employee the minimum wage, you can refer to this chart to help work out which minimum wage rate applies:

New Entrants' Minimum Wage Flowchart

New Entrants' Minimum Wage Flowchart

There is no statutory minimum wage for employees who are under 16 years old.  

Minimum wage adjustments
Minimum wage rates are reviewed every year.  For current minimum wage rates, please see our Minimum wage page.

If your young employee is on the minimum wage rate, and that rate is increased, then their pay should be adjusted from the time the new rate takes effect.  If your young employee is earning above the minimum wage, and the new minimum wage rate is above that wage rate, then their pay should be adjusted to at least the minimum wage rate.