HUMAN RESOURCES

Local authorities must pave the way on the Living Wage

If we want to tackle the scourge of low pay and in-work poverty we must acknowledge the vital role of local authorities and encourage more to commit to paying a Living Wage, says Tess Lanning

In England alone, 80 local authorities have now committed to pay the real Living Wage, the UK's only independently calculated, voluntary, wage rate based on the cost of living. This November, as part of the annual rate increase announcement, new local authorities such as Redbridge LBC and Bristol City Council have joined those committed to pay a fair day's pay for a hard day's work.

The leadership shown by these local authorities has had a significant impact on individuals and communities. Since 2001, local authorities paying the real Living Wage have channelled hundreds of thousands of pounds back into worker's pockets, with thousands of workers lifted out of in-work poverty. In many cases, local authorities committing to the Living Wage have also kick-started wider pay increases throughout their local communities. In fact, it's increasingly clear that the benefits of paying staff and contractors a real Living Wage aren't only felt by those individuals receiving a pay rise. Local businesses benefit too, and there is potential for significant boosts to local economies across the UK as a result of wider take-up.

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