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New voluntary living wage rates introduced

06 November 2017

Companies signed up to the voluntary living wage scheme will increase hourly wages by 30p today to £8.75, with London rates rising by 45p to £10.20 per hour.

With approximately 3,600 companies signed up to the scheme, this will see over 150,000 people receiving pay rises, according to the BBC.

The rate rise coincides with this year's Living Wage Week, which ends on Saturday 11 November.

Among those listed as supporters of the initiative, promoted by the Living Wage Foundation, are Google and Ikea.

Designed to tackle issues such as in-work poverty, the voluntary scheme exceeds the current National Living Wage (NLW) rate by £1.25 an hour.

Introduced in April 2016, the NLW sets a minimum rate for workers aged 25 and over, with younger workers receiving the lower pay level of the scheme.

Living Wage Foundation director Katherine Chapman described in-work poverty as "today's story" and appealed for more employers to join the voluntary living wage rate initiative.

"The new living wage rates will bring relief for thousands of UK workers being squeezed by stagnant wages and inflation," she said.

New companies signing up to the scheme include JLL, the National Gallery and Heathrow Airport.

The latter is the first UK airport to sign up to the scheme, with chief executive John Holland-Kaye describing the move as "the right thing to do as a responsible employer".


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