MORE than 45,600 workers in Scotland are set to benefit from a pay rise, with an increase in the real Living Wage rate to £9.50 per hour announced today.
First Minister Nicola Sturgeon hailed the move, saying it will be a particular boost during “the really tough time” many people face due to the economic impact of the coronavirus pandemic.
The Living Wage Foundation says Scotland now has the lowest percentage of low-paid jobs in the UK. It says almost £240 million in extra wages has gone to low-paid workers in Scotland thanks to the Living Wage movement, including more than £42m since the start of lockdown.
The organisation also says 34,000 people in key worker industries in Scotland have benefited from more than £192m in extra wages since 2011. However, its research has found that 350,000 workers (15.2%) in Scotland are still paid less than the real Living Wage.
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The 20p increase will be paid to those working for 1892 real Living Wage Employers in Scotland. The foundation says real Living Wage rates are the only ones independently calculated based on what people need to live on.
Major Living Wage employers in Scotland include Brewdog, SSE and Standard Life Aberdeen.
More than 180 employers have become accredited Living Wage employers in Scotland since the start of the pandemic. Scotland’s largest charity for people who have learning disabilities, ENABLE Scotland, becomes accredited today. That will see the pay of 1800 frontline care workers rise to the real Living Wage level.
Nearly 7000 UK employers, including two-fifths of the FTSE 100 companies, major household names and thousands of small businesses, choose to pay the real Living Wage to ensure all staff earn a wage that meets the real cost of living.
Research conducted by Cardiff Business School has shown the impact across the UK of the Living Wage campaign since the start of the pandemic. More than 250,000 UK workers have benefited from an additional £200m since the start of lockdown, including 130,000 key workers.
The First Minister said: “This very welcome increase to the real Living Wage will mean thousands of workers across Scotland will get a pay rise to help them meet their living costs during this really tough time.
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“Ensuring staff are paid fairly shows a clear commitment to fair work practices and Scotland now has the highest proportion of real Living Wage employees anywhere in the UK.
“The Scottish Government continues to encourage all employers, regardless of size or sector, to consider paying the real Living Wage. Not only do we see it as a crucial part of creating a fairer and more prosperous country, it also makes business sense with companies reporting more motivated and productive employees, reductions in staff turnover and stronger team performance.”
ENABLE Scotland’s CEO Theresa Shearer said: “As a newly accredited Living Wage employer, ENABLE Scotland is proud to uplift the pay of more than 1800 frontline key workers to ensure we reward and retain the outstanding staff who are supporting vulnerable people to stay safe and well, living the life they choose in their own home.
“The Covid-19 pandemic makes it clearer than ever that excellent self-directed social care is absolutely critical to an integrated health and care system, and our ambition to pay more than the real Living Wage for every hour worked helps ensure social care is a flexible and rewarding career choice.”
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