Almost half a million employees are in line for a salary increase following the announcement of an uptick in the Real Living Wage. The Real Living Wage, voluntarily paid to workers over 18 at firms affiliated with the Living Wage Foundation, is designed to cover essential living expenses such as food, clothing, and household bills.
The new hourly rates will climb by 85p to £13.45 per hour, a 6.7% rise, and by 95p to £14.80 per hour in London, up by 6.9%, surpassing the minimum wage requirements. The Real Living Wage is applicable to all employees over 18 working for Real Living Wage-certified employers, numbering over 16,000.
This year’s increase means that a full-time worker earning the Real Living Wage will pocket an additional £2,418 annually compared to someone on the minimum wage, with London workers receiving £5,050 more per year. The Living Wage Foundation, responsible for setting the rates, confirmed these figures.
Katherine Chapman, the executive director of the Living Wage Foundation, emphasized the importance of a wage that covers essential living costs. She highlighted the positive impact the new rates will have on workers and their families in managing expenses like rent, bills, and food, promoting stability and security.
Christina McAnea, the general secretary of Unison, noted the significance of the pay rise in setting a standard for poverty-preventing wages. She emphasized the responsibility of the government to ensure decent pay for public service workers to enable them to meet their financial obligations and support their families.
McAnea raised concerns about NHS staff falling further behind the Real Living Wage rate and the potential consequences of this discrepancy. She urged ministers to address the issue by collaborating with unions to rectify the situation and move away from the existing NHS pay review system.