2 November 2015
Living Wage Foundation Principal Partner Nationwide has welcomed the new hourly rate which has been announced today (November 2).
The new hourly rates are £8.25 in the UK and £9.40 in London. The UK rate is set annually by the Living Wage Foundation and calculated by the Centre for Research in Social Policy at Loughborough University.
Nationwide is encouraging employers who can afford to pay the Living Wage to do so now, because as the Government introduces the mandatory enhanced minimum wage in April 2016, the actual cost of going further and paying employees the Living Wage will, in effect, be reduced.
Benefits of becoming a Living Wage employer include appealing to consumers who want to access services and products from businesses which pay their employees a fair wage and boosting employee morale.
The Living Wage is voluntary, calculated according to the basic cost of living in the UK and applies to everyone over the age of 18. This differs from the enhanced minimum wage the government announced in May this year which will be mandatory and only applicable to people aged 25 and over. The mandatory enhanced minimum wage will be set at £7.20 per hour.
Nationwide’s Head of Citizenship, Stephen Uden, said: “We welcome today’s new Living Wage rate announcement which gives people the opportunity to earn enough to provide for themselves and their families. We want to share our experience of becoming an accredited Living Wage employer and highlight the benefits which include boosting staff morale, appealing to consumers who want to see employees paid a fair wage and being a key player in the drive for fair pay.”
As a Living Wage Foundation Principal Partner, Nationwide will pay all its employees including temps, agency employees and apprentices at least the Living Wage.