The Mayor of London Sadiq Khan announced increased Living Wage Foundation rates during Living Wage Week 2016.
The new London Living Wage has increased by 3.7% from £9.40 to £9.75 per hour and the UK rate increased by 2.4% from £8.25 to £8.45. The UK rate is 17% higher than the government minimum for over 25s which is £7.20 per hour. Payment of Living Wage Foundation rates are voluntary by organisations who have signed up to become accredited employers.
The Living Wage is calculated by the Living Wage Foundation – a campaigning organisation calling for every worker in the country to earn enough to provide their family with the essentials of life. The rates are based on a basket of goods which ordinary people think are essential for a healthy, normal family life and the Foundation takes into consideration the higher cost of living in London with two rates.
Churchill is proud to have been a Recognised Service Provider working to the parameters set by the Living Wage Foundation since 2014. Our commitment means we submit a separately costed Living Wage compliant bid for all tenders unless specifically requested that we do not do so and all employees, other than those who are engaged in delivering services under a contract for a specific client, are paid at or above the Living Wage rate.
In the last two years, we have had a great deal of experience of working with clients (new and existing) in creating achievable financial and operational models which work towards paying the existing and future Living Wage and London Living Wage rates. From our perspective, paying the Living Wage is good for business, good for the individual and good for society. The net effect is increased productivity, reduced absenteeism, better recruitment and retention, improved quality of work, and increased ethical awareness.