Living Wage FAQ
We look at some of the most commonly asked questions about the Living Wage
• Do employers have to pay the Living Wage rates by law?
The Living Wage is a voluntary higher rate of base pay. It provides a benchmark for responsible employers who choose to pay more than the National Minimum Wage.
• Who does the Living Wage apply to?
The Living Wage applies to all staff who work regularly on your premises. The exact definition is those who work two or more hours a day for eight or more consecutive weeks of the year. The Living Wage does not apply to contractors on the supply side e.g. stationary suppliers.
It is recommended as best practice to communicate your Living Wage commitment to everyone you do business with, and encourage them to consider implementing the Living Wage.
• Which ages does the Living Wage apply to?
The Living Wage applies to everyone over the age of 18.
• What is the accreditation process?
The accreditation comes from the Living Wage Foundation, not from Islington Council directly. The accreditation is a signed licence between the Living Wage Foundation and the employer. In order to be accredited you must pay all your directly employed staff the Living Wage and have a plan in place for contracted staff such as catering, cleaning, security, parks or ground staff.
• What is phased implementation?
Phased implementation means that the Living Wage is rolled out across third party contracts over time, as the contracts come up for renewal. These contracts are included in the licence agreement as 'milestones'. The Foundation will check in with you periodically to ensure the milestones are on track.
• How long does the accreditation process take?
It varies according to the size of your organisation and according to the types of contracts you have. Some employers can sign up straight away; others may have a project of work to do to identifying which contracts are relevant and when they are due for renewal. Large organisations can often be accredited within six months.
• How much does it costs to be accredited?
The cost varies according to the size of your organisation, starting at £60 per year for those with fewer than 10 employees. For full details of the costs please contact the Living Wage Foundation.
• I want to become a Living Wage Employer, but where do I go from here?
If you are interested in becoming a Living Wage Employer get in touch in touch with the Living Wage Foundation for help and support on your journey.