What is the real living wage?
The Real Living Wage is the only UK wage rate based on the real cost of living. It is voluntarily paid by over 14,000 UK businesses who believe their staff deserve a wage which meets everyday needs - like the weekly shop, or a surprise trip to the dentist.
In October 2023, the RLW was updated in line with rising cost of living and is now £12/hour, compared to the national minimum wage of £10.18. its calculated according to latest figures on cost of living in the UK, and the cost of a typical basket of household goods and bills.
Macc was accredited as a real living wage employer in 2013 and we are now working to support Voluntary, Community and Social Enterprise (VCSE) sector organisations in Manchester to also become accredited.
Why is the Real Living Wage needed?
14% of jobs in the VCSE sector are paid below the real living wage, compared to 5% in the public sector.
Public perception is often that front line charitable work needs to be as low cost as possible, this means it can be challenging for VSCE orgs to receive funding to properly pay their staff, and race to the bottom commissioning and funding culture has meant third sector providers are competing for funding and contracts.
Regional Divide:
There are also regional inequalities affecting pay in our sector, the North-West has the highest levels in England of VCSE sector low pay.
The low pay in the VCSE sector is making inequalities worse. Jobs done by women are more likely to be low paid than those done by men and people with disabilities are even more likely to be in low paid roles than those without a disability.
Paying the RLW means:
Workers earn enough for a good quality of life, with wages that cover their basic necessities and leisure activities. As well as being able to save for their futures – with more money for house deposits, emergency funds and higher education.
Research from the Real Living Wage Foundation finds that being paid the real living wage positively impacts worker’s mental and physical health and leads to higher satisfaction and greater productivity at work.
What are we doing in Macc?
Macc was accredited as a Real Living Wage employer in 2013. Macc recently became accredited for Living Hours and we’re looking at Living Pensions using ourselves as a test case.
On Living Wage Employers, Macc continues to promote this as good practice (alongside the GM Good Employment Charter).
Our GM VCSE Workforce Development Project is also working on:
- Development of an online hub for VCSE workforce issues – guidance, templates, etc. – this will include information about RLW, why to become accredited, how to go about it, etc.
- A programme of surveys of various aspects of employment in the VCSE sector. Recent ones include HR support and payroll support. Upcoming ones will address staff welfare and employment terms and conditions (including pay).
- A roundtable on EDI and the VCSE sector workforce.
How to be accredited
Organisations can become accredited Real Living Wage employers through the Real Living Wage Foundation. It's easy to get started, simply fill out this application form and head to the Real Living Wage Foundation website to find out more. Not only is paying the real living wage good for your community, it is beneficial to your organisational reputation and improves productivity and contentment of staff at work.
Get involved
If you want to find out more, or learn how you can become a real living wage employer, contact one of our team at: josie@macc.org.uk