Tower Hamlets Council has become one of the first local authorities in London to become an accredited London Living Wage (LLW) employer – guaranteeing that its own staff and those who work for its contractors (aged 18 and over) will be paid a minimum of the London Living Wage (currently £8.80 per hour).
The LLW campaign aims to ensure that wages reflect the real cost of living in London. An independent study found that 70% of businesses accredited as paying the LLW said that the initiative had increased awareness of their organisation’s commitment to being an ethical employer. Employers also found that absenteeism fell by approximately 25% when they became accredited by LLW, and 66% of employers reported a significant positive impact on recruitment and retention within their organisation.
Mayor of Tower Hamlets, Lutfur Rahman, said: “We are determined to tackle poverty at every level. I am pleased that we have achieved official recognition for our long-standing commitment to this important campaign.”
Rhys Moore, Director of the Living Wage Foundation, said: “The benefits the Living Wage brings to staff and business are clear. I welcome the leadership shown by Tower Hamlets Council on this important issue.”
•To find out more about becoming an accredited Living Wage Employer visit www.livingwage.org.uk.
•ELN has asked the Labour Group to comment on this story. To date they have not provided us with any comment.