real living wage – Page 2 – The NEN

Edinburgh is a Living Wage city

Edinburgh has today been awarded Living Wage City status as the UK marks Living Wage week (15 – 19th November), an annual celebration of the real Living Wage.

The accreditation has been awarded by Living Wage Scotland in recognition of the Scottish Capital’s ambition to deliver on its new Edinburgh Living Wage City action plan and double the number of Living Wage accredited businesses to over 900 across the city over the next few years.

Around 450 Edinburgh businesses are already committed to voluntarily paying their staff the Living Wage, paying a minimum hourly wage of £9.90 per hour. This new Living Wage rate was announced yesterday (Monday 15 November) as part of Living Wage Week 2021.

Now through the action plan – developed by the Edinburgh Living Wage Action Group, a collaboration of employers, public sector bodies, trade unions, social enterprises, and business organisations, supported by key city anchor institutions including the City of Edinburgh Council and the Edinburgh Partnership – the aim is to see at least 500 new accredited businesses.

It is expected that this will mean up to 40,000 workers in Edinburgh are protected by Living Wage commitments from their employers. Of those, at least 10,000 will be workers who receive a direct pay increase as a result of this commitment.

The commitment to becoming a Living Wage City arises from the calls to action made by the Edinburgh Poverty Commission report. To pay a fair wage is one key aspect of eradicating poverty across the Capital.

Last year, the City of Edinburgh Council became the first UK local authority to commit to ending poverty by a specific date – by 2030. Tackling poverty in Edinburgh remains one of the Council’s key priorities to making sure everyone can take advantage of everything the Capital has to offer and is paid a fair day’s pay for a fair day’s work.

The City of Edinburgh Council’s Fair Work Convener and Co-Chair of the Edinburgh Living Wage City Action Group, Councillor Kate Campbell, said: “All partners in the Edinburgh Living Wage City Action Group have put so much work into getting to this point.

“We are all incredibly proud that we can call our Capital an official Living Wage City. We now need to continue that work so that we sign up 100 new accredited businesses every year for the next five years. That’s double the current number of businesses signing up.

“Being an accredited living wage employer is about so much more than paying a Living Wage. It’s about embedding a culture of Fair Work and giving staff financial security, showing them that they’re truly valued for the contribution they make. And the benefits for employers include being able to keep and attract skilled staff – something many businesses are struggling with right now.

“So, we’re asking all businesses and organisations across the city to join us. Together, we can make our city fairer and make sure everyone shares in our economic recovery.”

The City of Edinburgh Council’s Fair Work Vice Convener, Councillor Mandy Watt, said: “In-work poverty needs to end – and Edinburgh is taking a welcome step towards that today by becoming a real Living Wage City. Fair pay, fair hours and respect at work should be something that all workers can expect from their job.

“We’re hoping that a huge number of Edinburgh employers share our ambition and will raise wages to the level of the real Living Wage, which was announced yesterday (15 November). Once that’s done, they can move forward to full accreditation and show everybody that they’re helping to end poverty in our city.”

The Scottish Government’s Minister for Just Transition, Employment and Fair Work Richard Lochhead said: “I am pleased to see Edinburgh achieve the significant milestone of becoming a Living Wage City.

“There is increasing evidence demonstrating the benefits of Fair Work to both workers and business and by promoting the real Living Wage, the Edinburgh Action Group recognises the importance that fair pay has on the local economy.

“I congratulate the Action Group and all the 2employers in Edinburgh that have played a part in this important achievement.

Lindsay Fyffe-Jardine, CEO at Edinburgh Dog and Cat Home, said: “We are very proud to part of a business community that recognises the importance of providing the Living Wage to their staff, and what an impact this has on both their income and wellbeing.

“At Edinburgh Dog and Cat Home, happy people always means happy animals, and through our commitment to the living wage, we are reducing financial pressures that our staff might otherwise face, ensuring the highest standard of care for our dogs and cats.

Peter Kelly, Director of The Poverty Alliance (above) said: “Today’s announcement that Edinburgh has been awarded ‘Making Living Wage Places’ recognition sends a strong signal of the determination to end low pay and loosen the grip of in-work poverty for workers and their families in Scotland’s capital city.

“The commitment by this alliance of employers to the people of Edinburgh is very important, and we look forward to working with them on making Edinburgh a Living Wage city. We want to see towns and cities in Scotland come together to tackle in-work poverty, and this is a significant step on that journey.”

Christine McCaig, Projects Coordinator and Living Wage Scotland said: “This Living Wage Week, we are delighted to announce the launch of an ambitious action plan to ‘Make Edinburgh a Living Wage City’. There are now more than 2400 accredited Living Wage employers in Scotland, over 450 of which are based in Edinburgh, who together want to ensure workers have what they need to thrive.

“The impact of the real Living Wage in tackling in-work poverty is strengthened by a collective effort from local employers, anchor institutions, key stakeholders and communities working together. We hope to see many more employers in Edinburgh become accredited to drive the vision of Making Edinburgh a Living Wage City.”

The real Living Wage rate this year has largely been driven by sharply rising fuel and rent costs. The real Living Wage is different to the Government minimum wage for over 23s, called the ‘National Living Wage’ (NLW).

While the real Living Wage is independently calculated based on living costs and is paid by employers voluntarily, the government’s NLW is based on a percentage of median earnings, and all employers are required to pay it.

In Scotland, more than 15% of all jobs pay less than the real Living Wage – around 350,000 jobs.

Since 2011 the Living Wage movement has delivered a pay rise to over 45,000 people in Scotland and put over £240 million extra into the pockets of low paid Scottish workers.

Real Living Wage increases to £9.90 as cost of living rises

Over 300,000 Living Wage workers are set for a pay boost
More than £1.6 billion in extra wages has gone to low-paid workers since the start of the Living Wage movement 20 years ago
£613 million in extra wages has gone to low-paid workers since the start of lockdown, with a record number of employers signing up – over 3,000 since the pandemic began
Greater London Authority and Greater Manchester Combined Authority are today making announcements on their progress to becoming Living Wage City Regions
Despite these successes, 4.8 million employees (1 in 6 workers) are still paid below the Living Wage, with those from racialised groups1 more likely to be paid below the Living Wage than white workers (19.4% compared to 16.3%).

Over 300,000 people working for almost 9,000 real Living Wage Employers throughout the country are set for a vital pay boost as the new Living Wage rates rise to £9.90 across the UK (40p increase), and £11.05 in London (20p increase), supporting workers and families.

The Living Wage rates are the only rates independently calculated based on what people need to live on.

This year the movement for a real Living Wage celebrates its twentieth year, with new research from the Cardiff Business School showing Living Wage workers have benefitted from more than £1.6bn in extra wages during this period. One in 13 workers now work for an accredited Living Wage Employer.

The new Living Wage rates and the ‘National Living Wage’: know the difference

Unlike the Government minimum wage (‘National Living Wage’ for over 23s – £8.91 rising to £9.50 in April) the real Living Wage is the only wage rate independently calculated based on rising living costs – including fuel, energy, rent and food.

A full-time worker earning the new, real Living Wage would earn £1,930 a year more than a worker earning the current government minimum (NLW). For a worker today that’s the equivalent of 7 months of food bills and more than 5 months’ rent based on average household spending in the UK.

Even on next April’s higher NLW rate of £9.50, a full-time worker on the real Living Wage would earn £780 more.

In London, a full-time worker on the new real Living Wage rate would earn an additional £4,173 a year compared to a worker on the current NLW and £3,022 more than a worker on next year’s National Living Wage.

The increase in Living Wage rates this year has largely been driven by rising fuel and rent costs.

The Living Wage movement continues to grow

Major new Living Wage employers announced today include FTSE 100 construction firms Taylor Wimpey and Persimmon Homes, Fujitsu, food delivery company Getir, and Capita. They join half of the FTSE 100 companies, household names like Aviva, Everton FC, Burberry and Lush as well as thousands of small businesses, who are choosing to pay the real Living Wage to ensure all staff earn a wage that meets the real cost of living. More than 3,000 employers have now accredited with the Living Wage Foundation since the start of the pandemic.

Metro Mayors in London and Greater Manchester have also today announced major new commitments to create Living Wage City Regions which could see thousands more pay rises.

Looking globally, the Living Wage campaign also today launches Living Wage for US, the first coordinated national effort set up to ensure that workers across the United States are paid a real Living Wage.

Low pay in the UK

The announcement of the new rates comes as new research by the Living Wage Foundation has demonstrated the scale of low pay during the pandemic, with 4.8 million jobs (17.1% of employee jobs) still paying less than the real Living Wage.

Northern Ireland had the highest proportion of jobs paying below the Living Wage (21.3% or 236,000) and the South East the lowest (12.8% or 533,000). [4]

Those from racialised groups were more likely to be low paid – with 19.4% of these workers earning below the LW compared to 16.3% of white workers.

Katherine Chapman, Living Wage Foundation Director, said: “With living costs rising so rapidly, today’s new Living Wage rates will provide hundreds of thousands of workers and their families with greater security and stability.

“For the past 20 years the Living Wage movement has shaped the debate on low pay, showing what is possible when responsible employers step up and provide a wage that delivers dignity.

“Despite this, there are still millions trapped in working poverty, struggling to keep their heads above water – and these are people working in jobs that kept society going during the pandemic like social care workers and cleaners.

“We know that the Living Wage is good for businesses as well as workers, and as we rebuild our economy post pandemic, the real Living Wage must be at its heart.”

The Archbishop of York, the Most Revd Stephen Cottrell, said: “This Living Wage Week, the Living Wage Foundation has announced the new rates that cover what we all need to earn to get by.

“Their movement will see over 9,000 businesses elect to give their 300,000 workers not only what they need to survive, but to thrive as well.

“The principle behind the campaign for better pay and secure working conditions ought to be a pillar of our new society, and one I hope will be adopted by even more forward-thinking businesses as we look ahead to 2022.”

Sarah Wadsworth, Fujitsu UK HR Director, said: “I am delighted that Fujitsu have signed as a Real Living Wage employer. This long-term commitment is not only the right thing to do for our employees but also ensures that our suppliers and partners are also planning to align to this for their employees.

“Fair pay for all employees continues to be relevant for our business as well as the benefits it brings to wider communities.”

Anne Billson-Ross, Taylor Wimpey Group HR Director, said: “This voluntary commitment is a fantastic example of the direct action we are taking to ensure we remain an employer of choice, committed to do the right thing by our employees, suppliers and subcontractors.”

Dean Finch, Group Chief Executive of Persimmon Homes, said: “I want all our employees to feel valued and fairly paid for the good work that they do. Paying the real Living Wage is an excellent way of demonstrating this. I am therefore delighted we have become a Living Wage Foundation accredited employer and joined what is an important campaign.”

Kim Coles, Finance Director at Lush, said: “At Lush we are committed to a fair wage at all levels of the business and fully support the UK Living Wage Foundation’s approach of a hard day’s work deserving a fair day’s pay.

“We have been paying the London Living Wage since 2011 and paying all UK staff at or above the “real” hourly Living Wage rate since April 2017. We continue to commit to the rate in tough times because that is when our people need it the most, and it’s the right thing to do.

“Lush staff are crucial to our success, and they work incredibly hard making and selling our products. Having an independently calculated real living wage rate means that we have a positive step towards staff being able to afford what they need to thrive, not just survive.

“It also means that the same fair trade commitment we make to our ingredient suppliers is made to our staff and that we can be confident their rates of pay are fair and increase in line with real living costs.”

Turancan Salur, General Manager at Getir, said: “At Getir we pride ourselves on being a great employer. As well as paying all our colleagues at least the real Living Wage, with the opportunity to earn more through bonuses, we provide pensions, sick pay, paid leave, insurance and all PPE and electric delivery vehicles.

“It is only right and fair that we do this as our workforce is the most important part of our business and we fully support the Living Wage Foundation for promoting such an important issue.”

Ryan, a Living Wage worker at COOK Food, said: “Before joining COOK I’d worked in a pub for two years. I was on minimum wage and I was working at least 50 hours a week to pay the rent. Even though I was working so hard, I started to get in debt. My relationships suffered, and it started to affect my health both mentally and physically.

“However, since coming to COOK, being paid the real Living Wage made all the difference. I could work only 40 hours a week and take home more than when I was working 50 or 60 hours at the pub.

“Gradually my mental health improved, and I also started to live more healthily. I lost 30kg because I actually had the time and money to make real food, eat properly and exercise. My relationships improved as I had time to spend with my friends and made new friends at COOK, too.”

Commenting on the Living Wage Foundation figures which show that one in six workers are earning under the real Living Wage, TUC General Secretary Frances O’Grady said: “Every worker should be able to afford a decent standard of living.

“But these new figures from the Living Wage Foundation show that low pay is endemic in modern Britain. Millions are in jobs that don’t pay the bills or put food on the table.

“After eleven years of Conservative government, real wages are only just getting back to their 2009 level. And the Budget revealed we face another half decade of wage stagnation.

“With Britain in the middle of a cost-of-living crunch, it’s time for the government to act.

“Ministers must start by increasing the minimum wage to £10 immediately, banning zero hours contracts and giving trade unions greater access to workplaces to negotiate improved pay and conditions.

“That‘s how we get wages rising for everyone.”

Companies bidding to win Scottish Government contracts must pay the real Living Wage

Companies bidding to win Scottish Government contracts will have to pay the real Living Wage, ministers have announced.

This will ensure public sector contracts tackle in work poverty and promote fair work practices across the public, private and third sector where there is a risk of low pay.

The real Living Wage has been consistently higher than the UK National Living Wage and helps create an inclusive and fair economy for all.

Business Minister Ivan McKee said: “We want to use every opportunity possible to promote fair work and ensure people are paid at least the real Living Wage. By using procurement powers to ensure bidders pay the real Living Wage, the Scottish Government is leading by example to help influence employment practices and embed fair work principles.

“We will continue to engage with relevant sectors to encourage others to adopt this change across the public, private and third sector. We are firmly focused on creating the right economic conditions and fair work practices to drive a greener, fairer and more sustainable economy.”

Fair Work Minister Richard Lochhead said: “As outlined in our Programme for Government, a range of measures are being taken forward to embed Fair Work First across the economy.

“The Scottish Government recognises pay as a clear way that an employer can demonstrate a commitment to their workforce, helping tackle in-work poverty alongside wider Fair Work First criteria.

“We will also introduce further changes to strengthen criteria for Scottish Government grants from next summer, subject to limits on devolved competence, as part of the Cooperation Agreement with the Scottish Green Party.

“The number of accredited living wage employers has increased from 14 in 2014 to just over 2,300 in 2021 and we would encourage more businesses to sign up to help ensure more people see their pay uplifted to at least the real Living Wage. We encourage organisations, regardless of size, sector or location, to adopt our progressive fair work approach which will help ensure all staff receive a fair day’s pay for the work they do.”

The Fair Work Convention Co Chairs Professor Patricia Findlay and Grahame Smith welcome the announcement from the Scottish Government on introducing a requirement to pay the real Living Wage to public contracts.

Commenting on the announcement, Professor Patricia Findlay said: “The Fair Work Convention welcomes today’s announcement from the Scottish Government. Low pay is one of the key drivers of in-work poverty.

“All too often we find that disabled workers, BME workers, young workers and women in particular face precarious and low paid work, so addressing very low pay in public contracts can begin to support better outcomes for these and other workers.

“Pay is a crucial element of fair work, and for too long the obstacles to workers’ challenging and improving low pay in certain occupations and sectors have been considerable. Given this, government action to help address low pay is necessary to deliver fair work as well as to deliver on equality and anti-poverty priorities.

Grahame Smith added: I’m delighted that the Scottish Government has accepted the Convention’s view that there is no legal impediment to making the payment of the real living wage a requirement of those in receipt of public contracts.

“While this decision is a significant step forward and will make a real difference for thousands of low paid workers, we will be exploring urgently how conditionality can be extended to all dimensions of fair work, particularly requirements around collective bargaining, union recognition and the adoption of all terms and conditions negotiated nationally between employers and unions.”

One in 12 key workers do not qualify for statutory sick pay

A third of key workers (33%) say they do not get full sick pay
A quarter of key workers (24%) say they get only £96pw statutory sick pay
Extending sick pay protection to all workers would cost the same as just 1% of the test and trace budget

New analysis published by the TUC shows that one in 12 key workers (788,000 people) do not qualify for statutory sick pay (SSP) – despite many of them being at greater risk from Covid-19 due to the frontline nature of their job.

The analysis uses the same definition of key worker as government. It finds that those excluded from SSP include more than a quarter of cleaners (27%) and retail workers (26%); nearly one in 10 teaching assistants (9%); and over one in 20 care workers (6%).

Additional figures from polling for the TUC by BritainThinks show that, for those who self-identify as key workers in the context of the Covid pandemic, a third (33%) report getting less than full sick pay (below their usual rate of pay); and a quarter (24%) report getting only the minimal protection of SSP at just £96 per week.

The TUC is calling for sick pay to be reformed so that:

The lower earnings limit rule is removed, allowing the lowest paid workers to qualify for statutory sick pay for the first time
The rate of SSP is raised to at least the level of the real living wage (£330 per week).

Research commissioned by the TUC from the Fabian Society shows that the cost of raising SSP to the equivalent of the real Living Wage for employers without an occupational sick pay scheme would be around £110 per employee per year – or just over £2 a week.

The research also shows that removing the lower earnings limit, which prevents those on low earnings from accessing statutory sick pay, would cost employers a maximum of £150m a year. And it would cost the government less than one per cent of the test and trace scheme to support employers with this cost.

TUC General Secretary Frances O’Grady said: “Nobody should have to choose between going into work if they’re sick or should be self-isolating, or doing the right thing by staying home, but facing hardship as a result. But that’s the choice facing many key workers who kept the country going during the pandemic.

“Our key workers deserve the dignity, security and safety of proper sick pay and a decent pay rise too. They have earned it, often in frontline jobs with much greater risk of infection than those who could work from home.

“The cost of fixing the UK’s broken sick pay system is small compared to other public health measures like test and trace. Ministers must urgently make every worker eligible for statutory sick pay. And it should be worth at least as much as the real Living Wage.”

The Fabian Society report Statutory Sick Pay: Options for reform is available here:

https://www.tuc.org.uk/sites/default/files/SSPreport.pdf

Tacking Poverty and Building A Fairer Country

Speech by the Social Justice Secretary, Shona Robison, opening yesterday’s Tackling Poverty and Building A Fairer Country debate

Presiding Officer, I am pleased to open this debate on the urgent need for us to tackle poverty and build a fairer, more equal country.

We must seize the opportunity, build upon our strong efforts to date, and use every lever at our disposal to bring about the change needed to tackle this problem.

We already invest around £2 billion each year in support for people on low incomes, including over £672 million targeted at children. We have a strong focus on those at greatest disadvantage, including disabled people. And we are supporting innovative action with our £50 million Tackling Child Poverty Fund.

But we must do more. That is why we have committed a wide range of ambitious action to be delivered in the first 100 days of this Parliament – maintaining the tremendous pace taken of change throughout the COVID pandemic.

This is a priority across all Ministerial portfolios. No one action will bring about the change needed, it needs all parts of government and broader society to work together and to impact the drivers of poverty reduction – increasing household incomes from work, reducing costs on essentials and maximising incomes from social security.

The eradication of poverty and building a fairer more equal country must be a national mission for government, for our parliament and for our society. We must try, where possible, to unite on this issue and work together to create a fairer Scotland.

Backed by over £1 billion of additional funding, our response to the pandemic shows that we can make change happen at the pace and scale required to support people and improve their lives. And we wand to build on this can do approach.

We delivered free school meal support during all school holidays and periods of remote learning for children from low income families – helping to tackle food insecurity during the pandemic. We will continue this whilst expanding Free School Meal support to all primary pupils, which will start within the first 100 days of this Parliament.

Also, in our first 100 days we will complete the roll-out of 1,140 hours of funded Early Learning and Childcare and have set out the next stage of our ambition to expand childcare further and develop a wraparound childcare system, providing care before and after school, all year round. This will make an important contribution to children’s development and will unlock the potential of parents in the labour market.

We will also deliver our £20 million summer programme for pupils, helping children socialise, play and reconnect – an essential investment to support the wellbeing of all children and young people [backed by £7.5 million from our Tackling Child Poverty Fund].

Through two Pandemic Support Payments of £100 to low income families with children we put money directly into the pockets of those who needed it most.

Building upon this approach, we will effectively pay the Scottish Child Payment through introducing bridging payments of £520 for families not yet eligible for the Payment, with £100 to be paid to families this summer. We will also provide £130 to every household who received Council Tax Reduction in April, reaching around 500,000 households.

I am pleased I can also make two announcements.

First, building on the practical support we offered during the pandemic, we will be providing the British Red Cross with a further £250,000 to continue their cash-first crisis support to those most at risk of destitution. This includes help to those impacted by the UK Government’s hostile policies that exclude them from most mainstream supports including the Scottish Welfare Fund.

And secondly, in recognition of the importance of listening to families affected by poverty, we will trial Family Wellbeing Budgets to put families firmly in control of the support they need. This new support will be delivered in partnership with the Hunter Foundation and will help to improve people’s wellbeing and capabilities.

Presiding offer, where we have the powers we are making a difference to people’s lives.

Nowhere is this more evident than in our approach to housing. Scotland has led the way in the across the UK with almost 100,000 affordable homes delivered since 2007, over 68,000 of which were for social rent. This is making a significant difference to people right across the country, and particularly for families with children.

We want to deliver a further 100,000 affordable homes by 2032. It is our aim that at least 70% of those homes will be for social rent, helping to tackle child poverty and homelessness.

But to tackle poverty effectively we must deliver a fair work future for Scotland, and we are working hard to do just that just now – but we are constrained by the powers available to us.

We cannot accept a future where two thirds of children living in poverty come from working households and where people are forced to rely on benefits to top-up their earnings.

We have to transform workplaces to tackle poverty and long-standing labour market inequalities, such as the disability employment gap and the barriers to employment faced by people from minority ethnic backgrounds.

With full powers over employment we could, as a minimum, ensure that all employees in Scotland receive the Real Living Wage, ensuring that their wages represent the true cost of living.

We could outlaw unfair fire and hire tactics, prohibiting employers from dismissing employees and subsequently re-employing them on diminished terms and conditions, and we could ban inappropriate and exploitative use of zero hour contracts, giving people the certainty about their working hours – ensuring they can plan their lives and incomes.

That’s why I have asked all party leaders to support our request to the UK Government for the full devolution employment powers to this parliament. So we can tackle poverty with the powers we need to make the change.

Social security is also an important tool to tackle poverty, and again those powers don’t lie in our hands. 85% of spending remains at Westminster alongside income replacement benefits such as Universal Credit and Employment and Support Allowance.

If we didn’t already need it, the pandemic further evidenced that the UK welfare system is not fit for purpose and risks undermining hard won progress. This is the system people in Scotland have to rely on and we shouldn’t have to mitigate against polices we disagree with like the £80 million we spent last year on Discretionary Housing Payments to mitigate the bedroom tax in full and support people with housing – we could be investing in other anti-poverty measures. If we had the powers here we would be able to do that.

The removal of the £20 uplift to Universal Credit is a callous act which will push 60,000 families across Scotland, including 20,000 children, into poverty and will result in families unable to work receiving, on average, £1,600 less per year than they would have done a decade ago – a decade ago – in 2011.

That’s a massive threat to the progress we could make here. We could be delivering the doubling of the Scottish child payment with one hand, only to see it removed by Westminster welfare policies with the other. Surely there is no-one across this chamber that can think that isin any way a good idea or a fair system?

We need to make significant investment into the pockets of those who need it most need. The Scottish child payment does that. That’s why it’s so important.

We have urged the UK Government to make the changes needed and to deliver a social security system which is fit purpose – scrapping harmful policies such as the two child cap, the rape clause, the benefit cap and 5 week wait under Universal Credit. Unfortunately, our calls, alongside many charities, organisations, and even the UN Poverty Rapporteur have been ignored. It’s time for full powers to come here so we can make the difference.

We have already shown we can make a difference – a public service based on human rights with respect and dignity at its heart and viewed as an investment in the people of Scotland. Principles we enshrined in law.

Through our powers, we are tackling child poverty head on, with the Scottish Child Payment, which currently pays £40 every four weeks for every eligible child under 6. We are committed to doubling this to £80, making even greater impact.

Alongside our Best Start Grant and Best Start Foods we are providing over £5,300 of direct financial support for families by the time their first child turns six and further for subsequent children as we don’t put a cap on children. These payments are making a real difference to low income families, helping them to access the essentials they need.

That support is unmatched anywhere else in the UK.

Presiding officer, our next steps will build on the strong foundation we have set, and will be taken forward at pace these changes. No one who sits in this parliament, whatever their political beliefs, can underestimate the scale of the challenge that we face.

I want to take that forward and I’m pleased to work with anyone across this chamber who wants to join me in doing that.

Fairer pay for social care workers

A commitment to ensure adult social care workers receive at least the Real Living Wage of £9.50 an hour has been agreed with COSLA.

Funding of £64.5 million will be committed to ensure adult social care workers will be paid at least the Real Living Wage from May 2021, backdated to April 2021. This is an important early response to the recent Independent Review of Adult Social Care and comes as a joint statement between with COSLA has been issued setting out how they will work together to deliver on the review’s recommendations.

Subject to the outcome of the Scottish Parliament elections, minimum standards for employment terms and conditions will be developed for the sector in partnership with COSLA. This includes a requirement for ethical commissioning which ensures procurement decisions take into account factors beyond price, including fair work, terms and conditions and trade union recognition.

There will also be new measures introduced to ensure staff, the majority of whom are women, are able to raise concerns, respond to local conditions and support an effective collective bargaining role in a sector where staff currently lack a clear representative voice.

The Scottish Government and COSLA have also jointly committed to working together to deliver recommendations of the independent review, including:

ending charging for non-residential services as soon as possible
introducing agreed ethical commissioning principles
overhauling eligibility criteria to ensure social care support is based on human rights and needs
implementing measures to put voices of those with lived experience at the heart of policy development and service delivery
ensuring unpaid carers are fully supported to continue in their caring roles

Health Secretary Jeane Freeman said: “Social care workers do a critical and invaluable job and they should be paid fairly for it. The Scottish Government want Scotland’s social care services to be high quality and consistent for those who use them and also for those who deliver them.

“Derek Feeley’s Independent Review of Adult Social Care set out clearly the need for better recognition and treatment of the, largely female, workforce, describing this as a key issue of equality and gender fairness, as well as an investment in critical service provision. The Scottish Government agree with those conclusions.

“This funding will help support a move to an ethical approach to commissioning which recognises the economic and social value of the work that staff in social care do, and that decisions must be about more than just price.”

COSLA Health and Social Care Spokesperson Councillor Stuart Currie said: “This statement of intent will allow work to begin now which will make improvements to adult social care in Scotland, and I welcome this progress.

“It is evident that there is significant discussion needed around the areas in the review that relate to governance and accountability within the report.

“However, COSLA Leaders are clear that there is much in the report to be welcomed particularly the principles in relation to empowering people, valuing the workforce and embedding a human rights-based approach in social care.”