NMWM14080 - After Notice of Underpayment issued: arrears paid in full 15 to 28 days after the Notice of Underpayment was given
Relevant legislation
The legislation that applies to this page is as follows:
- National Minimum Wage Act 1998, section 17
- Employment Rights Act 2025, sections 103, 107 and 108
General
National Minimum Wage arrears must be paid in full to all the workers named on a Notice of Underpayment within 28 calendar days of the day on which the notice was given (counting the day it was given as day 1). The 28-day deadline is clearly set out on the notice.
If you discover all the arrears were paid to workers between the 15th and the 28th day after the day on which the notice was given, then the employer will not be able to take advantage of the reduction in the penalty for prompt payment (NMWM14050).
If all the National Minimum Wage arrears are paid in full by the 28th day payment date no further enforcement action regarding those arrears will be appropriate. Any action on a penalty charge that remains unpaid will be automatically taken by Debt Management & Banking (NMWM14060).