Salary Sacrifice(pension contributions) and NMW

For 6 years I have been paying into a pension scheme. The employer took all this time the contributions before tax. However, since June 2023 the contributions have been taken after tax. The explanation from the employer was that they have to do this because otherwise I come below the National Minimum Wage. At least the 2 previous pay periods where the pay was almost exactly the same the contributions were taken before tax. I raised this that before I was being paid below the National Minimum Wage but there is a response that all was correct and not been paid below the National Minimum Wage. So I would like to know if I was paid below the National Minium Wage.

 Hi Richard, 
 NMW does not recognise a difference between Gross and Net pay.
Any deduction from pay, outside of a very specific list of exceptions, is likely to reduce a worker’s pay for minimum wage purposes.
Where a genuine salary sacrifice scheme is in place, the worker no longer has entitlement to that amount of pay under their contract.
As this amount is ‘sacrificed’ by the worker, it reduces their pay and so cannot be used as part of their NMW pay.

If you believe that you have not been paid at least the National Minimum Wage, you can make a complaint to HMRC by visiting
National Minimum Wage enquiries and complaints,
Or by contacting ACAS on 0300 123 1100.
Thank you.