Increase to Real Living Wage – Calabash continues commitment to fair pay

As of 23rd October, the Real Living Wage rate has increased to reflect the true cost of living. The hourly rate rose to £13.85 in London and £12.60 for the rest of the UK, boosting the pay packets of around half a million people. We are proud to report that more than 90% of Calabash clients have signed up to the Living Wage, helping us have a positive social impact and ensure our skilled staff receive the respect and remuneration they deserve.

The Real Living Wage applies to all workers over 18 years of age and was established to ensure that employees are paid at a rate that helps them meet their everyday needs. Unlike the Government’s National Living Wage, it is set independently and calculated by the Resolution Foundation based on the cost of a basket of goods needed for a decent standard of living.

Accredited employers now have until May 1, 2025, to implement the new rates. They are now worth over £2,262 more per year in the UK than the legal minimum, and over £4,700 more in London. According to the Living Wage Foundation, since 2011 the campaign has delivered nearly £3.5bn extra to some of the lowest paid workers in the UK and the latest hike will help mitigate the impacts of escalating living costs.

Calabash committed to the rate in April 2023. We are amongst 15,000 accredited Living Wage employers and we consider it a fundamental component of our sustainability strategy. More than 90% of our clients have now agreed to the rate, recognising that they have a duty of care to go beyond compliance.

Recent research by the Living Wage Foundation indicates that many of Britain’s 3.7m low paid workers are still struggling with the impact of years of high inflation. Shockingly it found that 42% of respondents have less than £10 left each week after covering essential expenses, 39% had used a food bank in the past year and 32% have skipped meals for financial reasons.

Not only do our clients believe that paying the rate is their moral duty but they understand that it helps attract and retain talent within a sector that is struggling with a long term skills shortage. Our People First approach has proved key to our success within the facilities management sector and helped ensure that we have the expertise we need to continue delivering the very highest service standards.

As ESG moves higher up the corporate agenda, more employers than ever are recognising the benefits of fair pay and treating people as their most valuable asset. We are hugely encouraged by the response we have had from our clients and will continue working to drive the message home so that more sign up to paying the Real Living Wage.

The accreditation forms one element of our overarching sustainability strategy designed to boost our credentials as an ethical and responsible business. From using low impact high performance cleaning chemicals to supporting clients with responsible waste management, Calabash endeavours to embed best practice across our operations.

Talk to Calabash today about how our facilities management solutions can help take your business to the next level. To learn more about the Real Living Wage visit www.livingwage.org.uk.