Professional Office Supplies was, today, delighted to welcome Clare Adamson MSP to its premises in Motherwell to help launch Living Wage Week with Living Wage Foundation.
Professional Office Supplies became an accredited Living Wage Employer in 2016, and ever since has committed to paying its staff and sub-contractors at least the hourly rate published by the Living Wage Foundation as the real living wage.
What is the Real Living Wage?
In April 2016 the government introduced a higher minimum wage rate for all staff over 25 years of age inspired by the Living Wage campaign – even calling it the ‘national living wage’.
However, the government’s ‘national living wage’ is not calculated according to what employees and their families need to live.
Instead, it is based on a target to reach 60% of median earnings by 2020. Under current forecasts this means a rise to less than £9 per hour by 2020.
For under 25s, the minimum wage rates also take into account affordability for employers.
The real Living Wage rates are higher because they are independently-calculated based on what people need to get by, using a public consultation method called Minimum Income Standard (MIS) to inform the rate. MIS asks groups to identify what people need to be able to afford as a minimum. This is fed into a calculation of what someone needs to earn as a full-time salary, which is then converted to an hourly rate.
Why pay it?
First and foremost, we believe that it is our duty as employers to ensure that everyone in the POS family is paid a fair and honest wage for the exceptional work they do. However, as a business that heavily invests time in its social responsibility, we feel that there is a much wider societal responsibility on employers to ensure that their staff earn a salary that allows them to afford, at the very least, the necessities in life.
It’s good for business too. In surveys carried out by the Living Wage Foundation of Living Wage Employers they found that:
• 86% said it had improved the reputation of the business
• 75% said it had increased motivation and staff retention rates
• 64% said it had definitely helped them to differentiate themselves from others in their industry
• 58% said it had improved relationships between managers and their staff
With what we would regard to be a social obligation and the overwhelming evidence that it makes commercial sense, the question is: Why would you not pay the Real Living Wage?
Thinking about becoming a Living Wage Employer?
If you would like to learn more about becoming a Living Wage Employer, just click here.
Thank you once again to Clare Adamson MSP, Kate from the MSPs office and Rachael from Living Wage Scotland for visiting and engaging with Managing Director Adrian McKenna on the benefits of being a Living Wage Employer. We were delighted to be able to host a discussion to help launch Living Wage Week, and look forward to attending the expo on Thursday 8th November at Tynecastle Park.