The Living Wage Week took place from 15th to 21st November 2021 and the New Living Wage rates details were announced. The real Living Wage is the only UK wage rate that is paid voluntarily by nearly 9,000 employers and is an hourly pay rate set independently and is updated every year. It is calculated based on the basic cost of living in the UK. Employees aged 18 years of age and older can be paid this new rate from 15th November by employers who pay the Living Wage and all employees should have this rate applied by 15th May 2022.
The new London Real Living Wage announced by the Living Wage Foundation, has increased by 20p from £10.85 to £11.05 per hour. This helps reflect the higher cost of living facing employees in London. The UK Living Wage rate has increased to £9.90 from £9.50, an increase of 40p or 4.2%. The Government's current national minimum wage for over 23s is £8.91, though it will increase to £9.50 from 1st April 2022, which is £99p less than this rate currently.
Nearly 300,000 employees will be affected by the new real living wage increase. A full-time weekly employee being paid the new Living Wage rate of £9.90 will earn £1,930 more annually than an employee on the current national minimum wage for over 23s. An employee working the same hours per week in London being paid the new Living Wage rate of £11.05 will earn £4,173 more per year compared to an employee on the National Minimum Wage for over 23s.
More than 3,000 employers have been accredited by the Living Wage Foundation since the start of the Coronavirus pandemic. New companies that have signed up are Fujitsu, Aviva, Everton FC and Burberry. For information about the Living Wage Foundation and Living Wage Week visit the Living Wage Foundation website here.