LRD guides and handbook May 2018

Law at Work 2018

Chapter 4

The Living Wage Foundation 



[ch 4: pages 88-89]

The government’s national living wage for workers aged 25 and older must not be confused with the voluntary living wage rate set each year by the Living Wage Foundation and the Greater London mayor, which is based on an independent assessment of the amount people need to get by. The current rate (from November 2017) is £8.75 an hour outside London and £10.20 an hour in London, which has a higher cost of living. It applies to all workers aged over 18.
Revised rates are announced each year in November in Living Wage Week. 


More than 4,000 employers have agreed to pay this higher rate. There is more information on the Living Wage Foundation website: www.livingwage.org.uk. Employers who commit to pay the voluntary living wage are expected to implement the rate as soon as possible and at least within six months, so that all employees receive the new rate by 1 May of the following year.



In Scotland, the Scottish Government’s Public Sector Pay Policy for Staff Pay Remits states that every worker whose pay is controlled directly by the Scottish Government should receive at least the Scottish living wage, which is based on the rate set by the Living Wage Foundation. The Scottish government also uses public procurement to encourage contractors to pay the voluntary living wage rate.