City’s Living Wage mission
NEWCASTLE has become a ‘Real Living Wage City’. An ambitious plan was unveiled in spring which could result in thousands of workers getting a pay rise.
More than 100 institutions and firms attended an event at St James’ Park to find out about the benefits of paying the real Living Wage. This is an independently calculated rate of pay based on what employees and their families need to have a ‘’decent standard of living’’ which is higher than the national minimum wage.
Experts believe this is an effective way of tackling child poverty which in parts of Newcastle is almost 50% with seven in 10 youngsters in poverty coming from working households. In 2023 Newcastle Council, a Real Living Wage employer, revealed its intention to make Newcastle a Real Living Wage City with accreditation from the Living Wage Foundation.
With partners, it set up a task group to push forward the real Living Wage agenda and will set its three-year plan on how to achieve this. Employers who don’t pay it have been invited to find out how they can get involved.
According to charity the Living Wage Foundation, more than 14,000 employers in Britain voluntarily pay the real Living Wage – 174 of them in Newcastle. They employ 50,000 staff and pay the real Living Wage to 5,000 of their lowest paid aged over 18. The rate is £12 per hour.
The City Council is calling on all employers across Newcastle to recognise and address the issues of low pay within their workforce and across their supply chains, and to register as real Living Wage employers if they can.
Accredited real Living Wage employers include Newcastle University, Newcastle United FC, Newcastle Hospitals, Bellway Homes, Citizens Advice and many small businesses including pubs and restaurants. Over 80% of accredited Real Living Wage employers claimed it had “enhanced their reputation’’ and over half said it had improved the quality of those applying to work for them.
Coun Stephen Lambert, ViceChair, Economy, Jobs and Skills Scrutiny Committee, Newcastle City Council