This week is living wage week, created by the Living Wage Foundation. The Living Wage Foundation publish what they believe employees need to earn to cover the costs of living not just what is needed day to day.

Living wage has been announced as £9.00 for those outside of London and £10.55 per hour for those within London. This will see an increase of 2.8% to wages for those who are paid the real living wage.

Currently over 4700 employers in the UK are accredited as living wage employers which includes around 1500 in London. The Living Wage Foundation uses a public consultation method called the minimum income standard to determine what the living wage should be, this factors in elements such as; transport costs, technology costs, rental costs, household goods costs & services.

 Let’s see how this compares to the current national minimum wage set by the UK Government:

Business Type Tier 1 Rules Tier 2 Rules Tier 3 Rules Full Lockdown / Circuit Breaker
Businesses forced to close due to COVID restrictions (excludes those that choose to shut) ✓ JRS

✓ JSS The Open Scheme

✓ JSS The Closed Scheme
Small and medium sized businesses (less than 250 employees) ✓ JRS

✓ JSS The Open Scheme

x JSS The Closed Scheme
✓ JRS

✓ JSS The Open Scheme

x JSS The Closed Scheme
✓ JRS

✓ JSS The Open Scheme

x JSS The Closed Scheme
✓ JRS

✓ JSS The Open Scheme

✓ JSS The Closed Scheme
Larger Business (more than 250 employees) **Only if can show lowered turnover
✓ JRS

✓ JSS The Open Scheme

x JSS The Closed Scheme
**Only if can show lowered turnover
✓ JRS

✓ JSS The Open Scheme

x JSS The Closed Scheme
**Only if can show lowered turnover
✓ JRS

✓ JSS The Open Scheme

x JSS The Closed Scheme
**Only if can show lowered turnover
✓ JRS

✓ JSS The Open Scheme

✓ JSS The Closed Scheme
Fully funded organisations Like the JRS these organisations are not expected to use the JSS as they are fully funded. This is different is they receive private funding and this has been negatively impacted due to COVID

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