Boris Johnson announces 115 employers signed up to the London Living Wage.
At a packed event hosted by KPMG at Canary Wharf to promote the London Living Wage, Mayor Johnson announced that a further 17 big employers have recently signed up to the Living Wage. This brings the total to 115 employers signed up to the Living Wage Employer scheme since it was launched. The scheme, run by London Citizens, has secured commitments from new firms including Merryl Lynch, Goldman Sachs, L'Oreal, JP Morgan, UBS and Bank of America. Other bodies that have signed up include those in higher education (most recently University of East London) and 11 London Councils (including Lewisham and Tower Hamlets),
The London Living Wage is currently set by the GLA at £7.85, just over £2 more than the National Minimum Wage. It is estimated that over 9,000 workers have benefited from the campaign since 2005. Trust for London has invested £1,000,000, over 4 years, as part of our Living Wage Special Initiative, with London Citizens as the main recipient of funding. The aim of the initiative is to address the unacceptable levels of in-work poverty experienced by workers in a number of key sectors (retail, higher education and the public sector) and to help raise them out of poverty.
In his address, Mayor Johnson said:
" A fair and decent wage for Londoners is critical if the capital is to remain diverse, inclusive and prosperous. There is an army of workers...from cleaners to care workers who keep this city functioning and it is only right that their skills and hard work are rewarded with a wage that will keep them out of poverty". In the same speech he also stated that the London Living Wage "knits loyalty of staff...and improves productivity [of businesses]."
As part of our special initiative, we have also funded independent research through Queen Mary University of London to explore the business model. The argument that the London Living Wage also makes good business sense was echoed by Guy Stallard, European Director of Facilities at KPMG. Guy, who is also a key member of our Living Wage Advisory Group, affirmed since adopting the living wage, KPMG had seen greater productivity, improved staff retention, lower levels of sick pay and reduced training and HR costs. He also stated that the living wage was an integral part of the firm's belief in "fairness, respect...and formed part of KPMG's DNA and corporate values".
As part of the event, Mayor Johnson also launched the London Living Wage Employer logo and brand which will form part of the employer accreditation scheme run by London Citizens. The accreditation scheme will become part of a new Living Wage Foundation (LWF) to be launched in spring 2011. The Foundation will take on accreditation, monitoring and intelligence functions to drive forward the campaign and to get more employers to sign up as living wage employers. The Foundation is also funded through our Living Wage special initiative.
Further details on our Living Wage Special Initiative can be found here.