Living wage research welcomed

Posted 02 February 2012 at 13:22

Preston’s campaign to promote the living wage features in a new national report by the Fair Pay Commission. Examining the economic impact of the ‘big four’ supermarkets (Asda, Morrisons, Sainsbury’s and Tesco), the report considers the potential for the UK’s main supermarkets to pay the living wage of £7.20 an hour.

Focusing on four areas in the UK, the report looks at the pay of supermarket workers in London, Yorkshire and the Humber, the North East and Preston.

The report found that 90% of people working in supermarkets in Preston were paid less than the living wage and that of those, 70% felt they did not earn enough to live on.

Welcoming the Fair Pay Commission’s report, Councillor Matthew Brown, Cabinet member for community engagement and inclusion said:

“With the council’s focus on the living wage it is no coincidence that Preston was chosen as one of the four areas used in this report. The report clearly shows there is potential for the big four supermarkets to pay the living wage of £7.20 an hour. This would help to raise people’s living standards and be a much needed boost to the UK economy.

“We hope the big four take notice of the report and follow the actions of employers like ourselves, the Olympic Delivery Authority, KPMG, Barclays and Glasgow City Council in paying the living wage to employees."

Co-author of the report, Andy Birchall said:

"The Fair Pay Network was supportive of Preston’s bid to pay and promote the living wage when it became one of the first council’s to do so. Preston is again playing its part in this campaign to get the big four supermarkets to pay the living wage not only in Preston but across the country."

Background information

• The report ‘Face the Difference: The Impact of Low Pay in National Supermarket Chains’ is published by the Low Pay Commission www.fairpaynetwork.org/
• In September 2011, Preston City Council became a Living Wage employer and now pays its employees a minimum of £7.20 an hour. Further information about Preston City Council and the Living Wage can be found at www.preston.gov.uk/yourservices/jobs-and-volunteering/preston-living-wage