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Articles arrow Economic and Social Policy arrow Economic and Social Policy

The business case for the living wage Print E-mail
Written by Deborah Littman   
Friday, 15 December 2006
Even with the overall decline in unemployment over the past nine years and improved incomes for the poorest families, the gap between the bottom and top income earners has continued to grow. It is clear that work is not proving an antidote to poverty. Almost half of low-income households have someone in work. Half of all children living in poverty live in households where someone is in paid work. Put simply, the problem is that work for millions of workers in the UK does not pay a living wage.

This article argues that workers should be paid at a rate which provides a ‘living wage’, that is sufficient income to secure an adequate living standard without being dependant on in-work benefits. Over the past five years UNISON has argued this case, along with community organizations such as London Citizens and TCC (Trefnu Cymunedol Cymru) in an attemp to convince employers that paying a living wage is not just the right thing to do morally, but actually a sensible policy from a business perspective.

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