The Real Living Wage has been increased, benefiting over half a million workers across the UK. This optional minimum wage, which is higher than the National Living Wage and Minimum Wage, has been set at £12.60 per hour and £13.85 per hour for London-based workers. This increase, up 5% from the previous year, will see workers receiving an extra £1,170 to £1,365 a year, depending on their location.
The Living Wage Foundation Director, Katherine Chapman, emphasized the importance of this increase, stating that low-paid workers have been greatly impacted by the rising cost of living and these new rates will make a significant difference in their lives.
Established in 2011, the Real Living Wage is voluntarily provided by employers and is based on the actual cost of living in the UK. Currently, over 15,000 employers, including well-known companies like IKEA, Aviva, and Oxfam, are paying their employees the Real Living Wage.
On the other hand, the minimum wage is set by the government on a yearly basis and is currently £11.44 per hour. The Labour government has promised to further increase the minimum wage as part of its ‘Make Work Pay’ initiative, aiming to ensure that all workers receive a genuine living wage. The Low Pay Commission estimates that the minimum wage could rise to between £11.82 and £12.39 in the near future.
Overall, the increase in the Real Living Wage is a positive step towards providing better pay for workers struggling to make ends meet in the face of rising living costs. It is important for employers to consider implementing the Real Living Wage to support their employees and ensure a fair standard of living for all workers.
