Wednesday 21st December 2011
A nationwide campaign to raise living standards for the lowest paid workers has won the backing of Bolton South East MP, Yasmin Qureshi.
The Living Wage Campaign calls for every worker in the country to earn enough to provide their family with the essentials of life. Outside London this would be an hourly rate of £7.20, compared to the national minimum wage of £6.08 for workers aged over 21.
The Living Wage is calculated by looking at the basic cost of living. The living wage describes the minimum hourly wage necessary for an individual to meet their own or their family’s basic day-to-day needs including housing, food and clothing.
The living wage is distinct from the statutory minimum wage, which was created to provide a floor below which wages should not fall, but is not designed to ensure that workers and their families are able to achieve a decent standard of living.
The national minimum wage is a statutory minimum calculated by taking into account the economic and labour market context. In the UK the Low Pay Commission sets the minimum wage. They accept stakeholder (employee and union) views and they take consideration of average weekly earnings. They do not make detailed calculations of the cost of living.
Yasmin Qureshi said:
“The living wage is about treating people with dignity and respect. The majority of those living in poverty are working households.
“It is vitally important to raise the wage of the poorest section of the work force as well as taking action over excessive pay at the top and large bonuses.
“I’m urging companies to lead the way in bringing about fair wages for all who work.”