The Christian campaign group Church Action on Poverty (CAP) has called for employers to pay a living wage of at least £7 an hour, or £7.42 in London, from the 1st December. This is broadly in line with the living wage research done by the BWPI’s own eminent Vincent Pattison. CAP also noted that there are benefits to paying better wages.
KPMG found that signing up as a Living Wage Employer reduced turnover of cleaning staff by 50%. A survey found that better employment conditions lead to a better motivated workforce. “I used to wake up in the night and feel sick thinking about work”, said one cleaner. Now that pay has improved “I feel proud to work in the hospital”.
Meanwhile, CAP note that boardroom pay continues to increase. Chief executives now pay themselves 104 times the average salary of their employees, up from 62 times in 2000.FTSE 100 Chief Executives ‘awarded’ themselves a 16% pay increase last year – doubling their earnings in the last five years, to average £3.17m each.
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