New Living Wage Rates:
In April 2016 the government introduced a higher minimum wage rate for all staff over 25 years of age inspired by the Living Wage campaign - even calling it the ‘national living wage’.
However, the government's 'national living wage' is not calculated according to what employees and their families need to live.
Instead, it is based on a target to reach 60% of median earnings by 2020. Under current forecasts this means a rise to less than £9 per hour by 2020.
For under 25s, the minimum wage rates also take into account affordability for employers.
The real Living Wage rates are higher because they are independently-calculated based on what people need to get by. That's why Living Wage Foundation encourage all employers that can afford to do so to ensure their employees earn a wage that meets the costs of living, not just the government minimum.
The real Living Wage is the only UK wage rate that is voluntarily paid by over 3,500 UK businesses who believe their staff deserve a fair day's pay for a hard day's work. Employers pay the real Living Wage which is higher than the government minimum - they also make sure all their employees in London receive the London Living Wage. In 2016 the government introduced the National Living Wage - while Living Wage Foundation welcomes this pay rise for low-paid workers, it is not a Living Wage as it isn't calculated based on actual living costs. Over 150,000 employees have received a pay rise as a result of the Living Wage campaign and enjoyed cross-party support. There is a broad range of employers accredited with the Foundation including 1/3 of the FTSE 100 and big household names including ITV, GOOGLE, IKEA, Everton FC, Chelsea FC and Oliver Bonas.
The new Living Wage rates are announced on the 6th November 2017 and all of our accredited employers are committed to implement them by the end of the financial year.
For more information go to https://www.livingwage.org.uk/