How the Living Wage makes working pay

How the Living Wage makes working pay

The Scottish Living Wage Accreditation Initiative is recognising businesses who sign up to pay staff £8.25 per hour, the salary required for an acceptable standard of living.

The rate is calculated through independent research using the ‘minimum income standard’ for the UK. Decisions about what to include in this standard are set by the public, so it is a social consensus about what people need to make ends meet – and is notably higher than the government’s national living wage of £7.20, which comes into force this April.

The case for paying the Living Wage is threefold;

  1. Social - the majority of people in poverty in Scotland are living in working households. In many cases, this is a result of stagnating pay and a rising cost of living. The Living Wage helps workers to afford a basic, but adequate standard of living.
  2. Business – a better salary helps with staff retention, productivity and lower sickness absence levels.
  3. Public policy – people pay more tax and claim fewer benefits, and more money in their pockets helps stimulate economic growth.
    1. More employers in Scotland are joining the Living Wage movement than in any other part of the UK, and from the first 20 employers in April 2014 there are now 500 accredited Living Wage Employers in Scotland.

      Well-known companies such as Standard Life, SSE, Heart of Midlothian FC, Royal Bank of Scotland, Scotrail, Carnoustie Golf Links and Brewdog stand alongside a wide range of smaller employers from all sectors, including a number of social enterprises and entrepreneurs.

      The Scottish Living Wage Accreditation Initiative is funded by the Scottish Government and works in partnership with the Living Wage Foundation.

      If you’d like to find out more about Living Wage accreditation please visit: http:scottishlivingwage.orgjoin