In 2001, the campaign for a real Living Wage began with a simple idea: work should let people live a decent life. Twenty-five years on, that idea has grown into a movement backed by thousands of employers, driven by countless community leaders, campaigners, and workers who made the case for change. This report takes stock of that impact — and looks at where the campaign goes next.
The Living Wage movement in numbers
“I believe the Living Wage Foundation has had a profound effect on society over the past 25 years.” — Martin Lewis CBE, Founder of MoneySavingExpert.com
- £4.1 billion transferred to workers' pockets
- 16,000+ Living Wage employers, covering every region and industry of the UK.
- 450,000+ people in work get paid more every month because their employer pays the real Living Wage.
- £1,400+ extra pay for someone working full-time paid the real Living Wage compared to someone paid the minimum wage.
Impact on people
“Earning the Living Wage means I can spend more time with my daughter doing the things together we enjoy. I can be the dad I want to be.” — A cleaner paid the real Living Wage
Every month, nearly half a million people get a bigger pay packet because their employer has committed to pay the real Living Wage. That’s hundreds of thousands of people sleeping a little easier at night, knowing they’re paid a wage based on the cost of living.
The cost of missing out on a real Living Wage can be huge, with millions of people in jobs paid less skipping meals, turning off the heating, falling behind on bills or taking out a pay-day loan to cover essentials. 42% of people in jobs paid less than the real Living Wage have used a foodbank in the past year.
Hear directly from people involved in the campaign
We heard from dozens of people who have been involved in the campaign. This short video captures the reflections of a handful of those who have been involved in the movement for fairer, better work.
Impact on business
“People say, ‘you guys are successful, therefore you can pay the Living Wage’, but they’ve got it the wrong way around – we’re successful because we pay the Living Wage.” — James Hennebry, CEO of Rosslyn Coffee
The Living Wage movement has grown rapidly since our first formal accreditation in 2011, and now encompasses 16,000+ employers employing 4.1m people.
From high street names like UNIQLO and IKEA to the Government’s Department for Business and Trade, there are employers in every part of the UK economy that have chosen to do the right thing and transform people’s lives.
The vast majority of accredited employers (94%) report tangible benefits, including reputational gains, improved recruitment and retention, and winning more contracts or customers.
Impact on society
“In a time of deepening inequality and declining trust, the Living Wage movement offers a hopeful path forward. What started back in 2001 as a bold idea from low-income communities organising in East London grew to become the most successful social movement of the century.” — Matthew Bolton, Chief Executive Citizens UK
More than a decade before the Living Wage Foundation officially launched, the Living Wage movement was taking shape in East London. Community organisers Bernadette Harris and Paul Regan brought together churches, mosques, unions and schools to demand a wage that reflected the real cost of living. This local, community-led campaign resulting in its first formal accreditation in 2011 – and 16,000+ more since.
In addition to the £4.1 billion since transferred to workers’ pockets by Living Wage employers, the movement has had knock-on effects on the world of work in the UK. Many employers outside the network use the real Living Wage as a benchmark, raising the wages of people not counted in our statistics. Further, the campaign’s success paved the way for multiple Governments to increase the minimum wage over the past decade, reducing the number of people on very low pay.
Where next: the 25 years ahead
Over the past 25 years, the Living Wage movement has delivered change at scale. But the job isn't finished – millions of people in work today are still being left behind by low pay, uncertain hours, or insufficient pension savings.
- 4.4 million jobs in the UK today are paid less than the real Living Wage.
- 4.2 million people are employees in jobs that are insecure.
- 80% of all employees saving into a Defined Contribution pension are not saving enough for an acceptable standard of living in retirement.
The next chapter of the movement is about creating work that works for everyone. Alongside paying a real Living Wage, we’re working with employers to provide their staff with secure hours and fair pensions, so that work supports people throughout their lives.
