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I have taken on a couple of 17 year olds. Do I have to pay them the development rate, or are there no restrictions on what I can pay?

From October 2008 you should pay 16 and 17 year-olds (other than apprentices - see above) at least £3.53 an hour, up from £3.40 (from October 2007).

The development rate (now £4.77 an hour) only applies to:

  • those aged 18, who are not undertaking an apprenticeship
  • those aged 19 to 21 (inclusive), whether they are taking an apprenticeship or not
  • those who are older in particular circumstances (see question three)
If you have employees starting on a contract of apprenticeship, or a government training programme such as a national traineeship or 'modern apprenticeship', there is no specified rate at which you must pay them until they complete their training or reach their 19th birthday (whichever comes first), when they must receive at least the development rate.