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The calculation of a living wage: the UK's experience

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Article

D'Arcy, Conor ; Finch, David

Transfer. European Review of Labour and Research

2019

25

3

August

301-317

living wage ; low wages ; working poor ; standard of living ; minimum wage ; guaranteed income

United Kingdom

Wages and wage payment systems

http://trs.sagepub.com/

https://doi.org/10.1177/1024258919847313

English

Bibliogr.

"Translating the concept of a living wage into a cash figure presents a number of challenges. A recent review of the approaches used in the UK explored these, with the aim of creating a unified and improved calculation. Designing a living wage relies on some technical decisions, such as which data sources are most appropriate. But many of the building blocks underlying a living wage require judgements on societal values, expectations and norms. The living wage rates in the UK are voluntary and promoted by campaign groups; this means any methodology needs to be empirically sound but also recognise the realities facing employers. No perfect approach can exist. But through analysis, consultation with stakeholders and a clear governance structure, the method used in London and the rest of the UK offers a robust, respected and up-to-date way to calculate the income needed to meet a decent standard of living. "

Digital;Paper



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