What Exactly Is The Living Wage?
It’s ‘Fair Pay Fortnight’ which makes this the perfect time to talk about the living wage. Just what is it and how is it different from the national minimum wage? We discuss in the blog post.
‘Fair Play Fortnight’ is running from February 16th to March 1st as the Trades Union Congress host a series of different events in order to promote the issues with the real wage in the UK.
Although the real wage is expected to rise by 0.8% this year due to low inflation, Brits across the country are struggling to earn enough to survive. That led to the Living Wage – a non-compulsory wage which aims to give workers a fairer pay packet that allows them to cope with generally rising costs.
More than 700 businesses have already pledged to pay it to staff, including Barclays, Google and Transport for London, while many more seem set to follow.
So what’s the difference?
Currently, the National Minimum Wage is £6.50 per hour for over 21s. Yet there are many who feel that simply cannot cover costs. The Living Wage is thought to better reflect the real cost of living and is currently £9.15 for people living in London and £7.85 for people living in the rest of the UK. Both rates are, of course, significantly higher than the National Minimum Wage but are not by any means legally required.
What results have businesses found?
The businesses which have already employed the Living Wage have already seen some amazing results, one of which has been a 25% decrease in absenteeism. Furthermore, 80% of employers believe it has improved their staff’s quality of life.
Is there more info out there?
There is plenty more information on the Living Wage and how to get involved on the Living Wage Foundation’s website.