Living Wage shake-up could help 1 million people, says report

York Press: Living Wage shake-up could help 1 million people, says report Living Wage shake-up could help 1 million people, says report

MORE than a million people could be lifted out of low pay by 2020 with no adverse economic consequences, says a commission chaired by the Archbishop of York.

The final report of the independent Living Wage Commission follows the most comprehensive analysis to date of low pay, conducted over 12 months by leading figures from business, trades unions, academia and civil society.

It recommends a series of pragmatic measures to take people out of low pay, including a requirement for all publicly listed companies to publish the number of people paid below a Living Wage.

It concludes the cost of increasing the pay of nearly 500,000 public sector employees to the Living Wage could be more than met by higher tax revenues and reduced in-work benefits from over 600,000 private sector employees also brought up to the Living Wage.

Currently 5.2 million people are said to earn less than the Living Wage and the majority of people in poverty are now in working households.

The legal minimum wage is currently £6.31 an hour for adults and £5.03 for 18 to 21-year-olds, but the living wage is £8.55 an hour in London and £7.45 an hour in the rest of the UK.

The report warns that, if the Government does not support the voluntary extension of coverage of the Living Wage, some working families will continue to rely on emergency measures, such as food banks and unsustainable debt, to get by.

However, the commission does not recommended the introduction of a compulsory Living Wage, warning that the increased wage bill would not be affordable for some firms in some sectors, such as retail and hospitality, and for many small firms.

The Archbishop, Dr John Sentamu, said that working and still living in poverty was a national scandal.

“The campaign for a Living Wage has been a beacon of hope for the millions of workers on low wages struggling to make ends meet,” he said. “If the government now commits to making this hope a reality, we can take a major step towards ending the strain on all of our consciences. Low wages equals living in poverty.”

Dr Adam Marshall, of the British Chambers of Commerce, said the return to economic growth meant many employers were now looking again at increasing levels of pay for their employees after a tough period for business.

He said they should be supported and encouraged to make this happen without facing compulsion or regulation, which could lead to job losses.

Frances O’Grady, General Secretary of the TUC, said there was now the perfect opportunity to transform the lives of millions of people in low-paid households.

Comments (18)

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9:13am Tue 24 Jun 14

Micklegate says...

It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants. Micklegate
  • Score: -14

10:47am Tue 24 Jun 14

Jonothon says...

Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
He is not lecturing anyone on giving money away. It is not even about giving money away.

Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits.

In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences
[quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]He is not lecturing anyone on giving money away. It is not even about giving money away. Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits. In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences Jonothon
  • Score: 12

1:48pm Tue 24 Jun 14

YorkPatrol says...

Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
Rumour has it he was drinking a glass of Moët & Chandon, smoking a Cohiba Esplendido cigar and eating Yubari melons from a plate of £50 notes when he gave the lecture
[quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]Rumour has it he was drinking a glass of Moët & Chandon, smoking a Cohiba Esplendido cigar and eating Yubari melons from a plate of £50 notes when he gave the lecture YorkPatrol
  • Score: -16

2:15pm Tue 24 Jun 14

Jim says...

Jonothon wrote:
Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
He is not lecturing anyone on giving money away. It is not even about giving money away.

Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits.

In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences
So a higher minimum wage for the public sector would be funded by everybody paying more tax and therefore having less disposable income. Equally, a higher minimum wage in the private sector would be funded by hikes in the prices charged so everybody's spending power is reduced.

No, don't see any adverse consequences there......
[quote][p][bold]Jonothon[/bold] wrote: [quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]He is not lecturing anyone on giving money away. It is not even about giving money away. Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits. In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences[/p][/quote]So a higher minimum wage for the public sector would be funded by everybody paying more tax and therefore having less disposable income. Equally, a higher minimum wage in the private sector would be funded by hikes in the prices charged so everybody's spending power is reduced. No, don't see any adverse consequences there...... Jim
  • Score: -4

3:11pm Tue 24 Jun 14

asd says...

Jim wrote:
Jonothon wrote:
Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
He is not lecturing anyone on giving money away. It is not even about giving money away.

Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits.

In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences
So a higher minimum wage for the public sector would be funded by everybody paying more tax and therefore having less disposable income. Equally, a higher minimum wage in the private sector would be funded by hikes in the prices charged so everybody's spending power is reduced.

No, don't see any adverse consequences there......
I guess you are one of these people who said minimum wage wouldn't work when it was brought in as well. Maybe the glorious government should bring the horrendously excessive 20% VAT to release more disposable income, that's the one thing Gordon Brown did that i agreed with, having it at 15 %.
Been long time this lot have been raking it in at 20% and using austerity as an excuse, as well as borrowing more than ever to give nice tax breaks to well off.
[quote][p][bold]Jim[/bold] wrote: [quote][p][bold]Jonothon[/bold] wrote: [quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]He is not lecturing anyone on giving money away. It is not even about giving money away. Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits. In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences[/p][/quote]So a higher minimum wage for the public sector would be funded by everybody paying more tax and therefore having less disposable income. Equally, a higher minimum wage in the private sector would be funded by hikes in the prices charged so everybody's spending power is reduced. No, don't see any adverse consequences there......[/p][/quote]I guess you are one of these people who said minimum wage wouldn't work when it was brought in as well. Maybe the glorious government should bring the horrendously excessive 20% VAT to release more disposable income, that's the one thing Gordon Brown did that i agreed with, having it at 15 %. Been long time this lot have been raking it in at 20% and using austerity as an excuse, as well as borrowing more than ever to give nice tax breaks to well off. asd
  • Score: 12

4:12pm Tue 24 Jun 14

CaroleBaines says...

Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
Not really lecturing is it, though? Or about 'giving away'. Read the article again.
[quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]Not really lecturing is it, though? Or about 'giving away'. Read the article again. CaroleBaines
  • Score: 12

5:01pm Tue 24 Jun 14

CHISSY1 says...

Religion is the cause of all troubles in the world,keep you nose out.
Religion is the cause of all troubles in the world,keep you nose out. CHISSY1
  • Score: -9

5:14pm Tue 24 Jun 14

Emperor Palpatine says...

Taxpayers have to subsidise employers who pay low wages. The subsidies comes in the form of Tax Credits and various In Work benefits. So not only are you, in effect, paying twice next time you go to the supermarket you are subsidising the profits of multinationals who don't pay hard working staff a decent wage.

There is an argument that if you can't pay decent wages you have no right to be in business. Decently paid staff work better. My employer pays me the minimum they can get away with so I do the absolute minimum I can get away with. Pay me more and I will put more effort in.

Dr Sentamu is right.
Taxpayers have to subsidise employers who pay low wages. The subsidies comes in the form of Tax Credits and various In Work benefits. So not only are you, in effect, paying twice next time you go to the supermarket you are subsidising the profits of multinationals who don't pay hard working staff a decent wage. There is an argument that if you can't pay decent wages you have no right to be in business. Decently paid staff work better. My employer pays me the minimum they can get away with so I do the absolute minimum I can get away with. Pay me more and I will put more effort in. Dr Sentamu is right. Emperor Palpatine
  • Score: 12

5:29pm Tue 24 Jun 14

eeoodares says...

Emperor Palpatine wrote:
Taxpayers have to subsidise employers who pay low wages. The subsidies comes in the form of Tax Credits and various In Work benefits. So not only are you, in effect, paying twice next time you go to the supermarket you are subsidising the profits of multinationals who don't pay hard working staff a decent wage.

There is an argument that if you can't pay decent wages you have no right to be in business. Decently paid staff work better. My employer pays me the minimum they can get away with so I do the absolute minimum I can get away with. Pay me more and I will put more effort in.

Dr Sentamu is right.
Then you do to deserve a job, perhaps if you did not 'do the minimum' you would not be on the minimum wage!
[quote][p][bold]Emperor Palpatine[/bold] wrote: Taxpayers have to subsidise employers who pay low wages. The subsidies comes in the form of Tax Credits and various In Work benefits. So not only are you, in effect, paying twice next time you go to the supermarket you are subsidising the profits of multinationals who don't pay hard working staff a decent wage. There is an argument that if you can't pay decent wages you have no right to be in business. Decently paid staff work better. My employer pays me the minimum they can get away with so I do the absolute minimum I can get away with. Pay me more and I will put more effort in. Dr Sentamu is right.[/p][/quote]Then you do to deserve a job, perhaps if you did not 'do the minimum' you would not be on the minimum wage! eeoodares
  • Score: -12

6:09pm Tue 24 Jun 14

Pedro says...

I have long believed that those who go out to earn a living should actually do so.
I have long believed that those who go out to earn a living should actually do so. Pedro
  • Score: 9

6:31pm Tue 24 Jun 14

Emperor Palpatine says...

eeoodares wrote:
Emperor Palpatine wrote:
Taxpayers have to subsidise employers who pay low wages. The subsidies comes in the form of Tax Credits and various In Work benefits. So not only are you, in effect, paying twice next time you go to the supermarket you are subsidising the profits of multinationals who don't pay hard working staff a decent wage.

There is an argument that if you can't pay decent wages you have no right to be in business. Decently paid staff work better. My employer pays me the minimum they can get away with so I do the absolute minimum I can get away with. Pay me more and I will put more effort in.

Dr Sentamu is right.
Then you do to deserve a job, perhaps if you did not 'do the minimum' you would not be on the minimum wage!
I'm not on the minimum wage, I earn slightly more. Seemingly unlike yourself I do not have the forelock tugging mentality of a serf. I do what I am paid for, no more. Want me to more than my contract specifies? OK, if you remunerate me I will, if not then no.
[quote][p][bold]eeoodares[/bold] wrote: [quote][p][bold]Emperor Palpatine[/bold] wrote: Taxpayers have to subsidise employers who pay low wages. The subsidies comes in the form of Tax Credits and various In Work benefits. So not only are you, in effect, paying twice next time you go to the supermarket you are subsidising the profits of multinationals who don't pay hard working staff a decent wage. There is an argument that if you can't pay decent wages you have no right to be in business. Decently paid staff work better. My employer pays me the minimum they can get away with so I do the absolute minimum I can get away with. Pay me more and I will put more effort in. Dr Sentamu is right.[/p][/quote]Then you do to deserve a job, perhaps if you did not 'do the minimum' you would not be on the minimum wage![/p][/quote]I'm not on the minimum wage, I earn slightly more. Seemingly unlike yourself I do not have the forelock tugging mentality of a serf. I do what I am paid for, no more. Want me to more than my contract specifies? OK, if you remunerate me I will, if not then no. Emperor Palpatine
  • Score: 17

10:20pm Tue 24 Jun 14

NoNewsIsGoodNews says...

CHISSY1 wrote:
Religion is the cause of all troubles in the world,keep you nose out.
And you are the cause of most of the arguments on here, keep your nose out.
[quote][p][bold]CHISSY1[/bold] wrote: Religion is the cause of all troubles in the world,keep you nose out.[/p][/quote]And you are the cause of most of the arguments on here, keep your nose out. NoNewsIsGoodNews
  • Score: 1

8:01am Wed 25 Jun 14

Cheeky face says...

Catch 22 springs to mind. Good comments from both sides.

Small businesses could suffer the most.

National wage ranges are the problem; as is the sports agents demands!

DWP then have to try and re-balance finances of the lower paid and the higher rate tax payers.

Glad I am retired!
Catch 22 springs to mind. Good comments from both sides. Small businesses could suffer the most. National wage ranges are the problem; as is the sports agents demands! DWP then have to try and re-balance finances of the lower paid and the higher rate tax payers. Glad I am retired! Cheeky face
  • Score: 5

8:14am Wed 25 Jun 14

Micklegate says...

asd wrote:
Jim wrote:
Jonothon wrote:
Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
He is not lecturing anyone on giving money away. It is not even about giving money away.

Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits.

In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences
So a higher minimum wage for the public sector would be funded by everybody paying more tax and therefore having less disposable income. Equally, a higher minimum wage in the private sector would be funded by hikes in the prices charged so everybody's spending power is reduced.

No, don't see any adverse consequences there......
I guess you are one of these people who said minimum wage wouldn't work when it was brought in as well. Maybe the glorious government should bring the horrendously excessive 20% VAT to release more disposable income, that's the one thing Gordon Brown did that i agreed with, having it at 15 %.
Been long time this lot have been raking it in at 20% and using austerity as an excuse, as well as borrowing more than ever to give nice tax breaks to well off.
Do you think the minimum wage has worked? It's good when possible to pay people more but is it coincidence that the young are paid the least and there is a strong link between the time the minimum wage was brought in and the rise in youth unemployment? More and more young people are therefore not getting on the career ladder.
[quote][p][bold]asd[/bold] wrote: [quote][p][bold]Jim[/bold] wrote: [quote][p][bold]Jonothon[/bold] wrote: [quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]He is not lecturing anyone on giving money away. It is not even about giving money away. Re-read the article, it argues correctly, that the cost of a higher minimum wage could be met by higher tax revenues and reduced in-work benefits. In other words it will save money overall, and since it will increase disposable income and spending power, business will benefit too, and without adverse consequences[/p][/quote]So a higher minimum wage for the public sector would be funded by everybody paying more tax and therefore having less disposable income. Equally, a higher minimum wage in the private sector would be funded by hikes in the prices charged so everybody's spending power is reduced. No, don't see any adverse consequences there......[/p][/quote]I guess you are one of these people who said minimum wage wouldn't work when it was brought in as well. Maybe the glorious government should bring the horrendously excessive 20% VAT to release more disposable income, that's the one thing Gordon Brown did that i agreed with, having it at 15 %. Been long time this lot have been raking it in at 20% and using austerity as an excuse, as well as borrowing more than ever to give nice tax breaks to well off.[/p][/quote]Do you think the minimum wage has worked? It's good when possible to pay people more but is it coincidence that the young are paid the least and there is a strong link between the time the minimum wage was brought in and the rise in youth unemployment? More and more young people are therefore not getting on the career ladder. Micklegate
  • Score: -17

9:48am Wed 25 Jun 14

CHISSY1 says...

NoNewsIsGoodNews wrote:
CHISSY1 wrote:
Religion is the cause of all troubles in the world,keep you nose out.
And you are the cause of most of the arguments on here, keep your nose out.
Dont tell lies Pinocchio.
[quote][p][bold]NoNewsIsGoodNews[/bold] wrote: [quote][p][bold]CHISSY1[/bold] wrote: Religion is the cause of all troubles in the world,keep you nose out.[/p][/quote]And you are the cause of most of the arguments on here, keep your nose out.[/p][/quote]Dont tell lies Pinocchio. CHISSY1
  • Score: -11

10:28am Wed 25 Jun 14

Firedrake says...

As palaces go, Bishopthorpe is really quite modest. As for servants ... there are certainly staff who manage a very busy office which undertakes a complicated national operation. And very good they are too.

I've certainly never noticed a butler!
As palaces go, Bishopthorpe is really quite modest. As for servants ... there are certainly staff who manage a very busy office which undertakes a complicated national operation. And very good they are too. I've certainly never noticed a butler! Firedrake
  • Score: 6

11:08am Wed 25 Jun 14

YorkPatrol says...

Firedrake wrote:
As palaces go, Bishopthorpe is really quite modest. As for servants ... there are certainly staff who manage a very busy office which undertakes a complicated national operation. And very good they are too. I've certainly never noticed a butler!
I did! - He's called Jeeves and wears gold shoes
[quote][p][bold]Firedrake[/bold] wrote: As palaces go, Bishopthorpe is really quite modest. As for servants ... there are certainly staff who manage a very busy office which undertakes a complicated national operation. And very good they are too. I've certainly never noticed a butler![/p][/quote]I did! - He's called Jeeves and wears gold shoes YorkPatrol
  • Score: -12

1:32pm Wed 25 Jun 14

perplexed says...

Micklegate wrote:
It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.
If the Archbishop was paying his own staff below the Living Wage , you might have a point. Do you have any evidence of this or do you just have a problem with the Church ? The report was an independent one , or are you suggesting that the Archbishop does not have a right to make comment on its conclusions just because he is an Archbishop.Would a politician or a business man been more to your liking? Who could possibly object to them?

It seems to me, rubbishing the messenger just because you don't like the message is poor form.
[quote][p][bold]Micklegate[/bold] wrote: It is amazing how quick Archbishop Sentamu is to lecture others on money they should give away considering the Church of England is one of the country's richest organisations and he lives in a huge palace with servants.[/p][/quote]If the Archbishop was paying his own staff below the Living Wage , you might have a point. Do you have any evidence of this or do you just have a problem with the Church ? The report was an independent one , or are you suggesting that the Archbishop does not have a right to make comment on its conclusions just because he is an Archbishop.Would a politician or a business man been more to your liking? Who could possibly object to them? It seems to me, rubbishing the messenger just because you don't like the message is poor form. perplexed
  • Score: 27

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