living wage

 

I don’t believe that it makes sense that the government enforces a minimum wage that is not considered enough to live on, which is why I believe that everyone should be paid a living wage.
The living wage currently stands at £7.45 for workers over 21 in the UK excluding London and £8.55 for London compared to the minimum wage of £6.19 for people over 21 which is being increased to £6.31 from October 2013. Whilst the absolute difference is relatively small the effect it can have on the lives of people is far greater.

One of the biggest problems facing us in Wales to today is in work poverty which is something the living wage would address and one of the Westminster government’s biggest problems is paying in work benefits which again paying a living wage would address. I believe that the government has a moral duty to ensure a decent standard of living for all.

A study by the Resolution Foundation shows the Treasury would save over £2 billion a year if all workers were paid at least the living wage

 

Labour’s Westminster Leader Ed Miliband has offered his support for the living wage, claiming that Labour would offer tax rewards to companies who began paying their workers the increased rate.

The Labour leader said in a Guardian interview "that companies could be offered lower business rates or tax relief on training programmes in return for boosting their staff's pay packets".

Ed Miliband also supported the idea of living wage zones, which would see certain industries or geographical areas institute the living wage where a significant proportion of companies supported the idea.

"Living wage zones would work for everyone – the people who get decent pay, the employers who get a more committed workforce and the government saves money on tax credits,"

The benefit for employers is given by the living wage foundation report that says "

A Living Wage Employer ensures that all employees are paid at least the Living Wage. This includes individuals who work on a regular basis at your premises for a subcontractor, such as cleaners or security staff.　

Living Wage employers report improved morale, lower turn over of staff, reduced absenteeism, increased productivity and improved customer service.　Between them, the employers committed to paying a Living Wage have lifted more than 45,000 families out of working poverty"

Our ambition for Wales must be to create a high wage and high skilled economy and becoming a living wage country would be one further step along that road. We cannot afford it, and it will cost jobs has been the argument used against all progressive change from the abolition of slavery to the minimum wage.

We won the battle over the minimum wage and the loss jobs that were predicted to occur did not materialise. It may have reduced sales of top of the range cars but it put money in people’s pockets and helped local economies. I believe that the economic and moral imperative is to set the challenge to make Wales a living wage country by 2020.

I believe that would make Wales a fairer country and this is a policy that all of us living in Wales could be proud.