Living Wage rise announced in York

The rate will rise to £7.85 an hour for those working outside London for employers signed up to the living wage pledge.

The pay rate is calculated using research from the York-based Joseph Rowntree Foundation (JRF) on the minumum amount necessary to enjoy an “adequate” standard of living.

The national minimum wage, the legal minimum all employers must pay, currently stands at £6.60 an hour.

Julia Unwin, JRF’s chief executive, said: “We will never achieve our full economic potential until we address the high levels of poverty across the UK, so paying a Living Wage is an important first step to getting to grips with the country’s in-work poverty problem.”

Today’s announcement was made at chocolate manufacturer Nestle’s York operation which employs around 1,800 people and pays the living wage.

Matt Stripe, Nestle’s group human resources director, said: “As a major UK employer with a significant site in York, we know that acting responsibly and making a positive socio-economic impact is not only good for the communities we operate in, but also makes good business sense.”

City of York Council has also signed up to pay all of its employees the living wage.

Council leader James Alexander said: “The new Living Wage being announced today demonstrates clearly that to pay minimum wage is just not enough.

“It is crucial that we continue to work with partners as too many in employment in York are also on benefits due to low wages and it isn’t good enough.”