Higher wages for low-paid workers at Leicester City Council

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Friday, February 22, 2013
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Leicester Mercury

More than 1,000 low-paid public workers are to get a wage rise from April.

Leicester City Council has announced it will pay its staff at least £7.45 an hour – the figure known as the Living Wage.

  1. Rory Palmer

    Rory Palmer

The figure, calculated by academics at Loughborough University, reflects the amount a person needs to cover basics expenses such as food, health and accommodation.

It is £1.26 higher than the £6.19 minimum wage.

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The city council said the move would increase the pay of 1,140 employees, at a cost of about £875,000 a year.

The measure was announced when the city council's budget was approved this week, which will see spending cuts of around £3 million next year and £6 million the year after.

Labour deputy city mayor Rory Palmer said: "Morally, this is the right thing to do. We have a responsibility to our staff. We are talking about the very lowest paid people.

"Times are tough for everybody particularly some of our staff who have not seen a pay increase in a number of years.

"They are cleaners, kitchen staff and domestic assistants, real people doing real jobs, who like many others in the city are struggling with the increasing cost of living, with food prices going up and fuel costs rising.

"They will feel the impact of Government welfare reforms but we hope this will help them."

Coun Palmer said the money to meet the wage increases would be found from underspends in council departments.

He said: "I hope this will be seen as a positive step and will set an example for other public sector employers and the private sector.

"There is compelling evidence that companies which have adopted the Living Wage have seen increases in staff morale and productivity.

"It also has significant reputation benefits for them."

More than 500 school staff in the city will get pay increases, including 393 cleaners, while 700 other council staff will benefit.

Under law, agency workers who have been on the council's books for more than 12 weeks will get pay rises.

City council Unison representative Gary Garner said: "We're delighted with this. We've been campaigning for it for a very long time."

Leicestershire Chamber of Commerce chief executive Martin Traynor said: "It is a good thing in principle but companies are struggling."

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62 Comments

  • Profile image for aristoc

    by aristoc

    Monday, February 25 2013, 1:44PM

    “Good old palmer.He knows how to manage on a living wage.He will have to struggle for the next 2 years on wages and pension payments and allowances of £200thousand.Poor little mite.”

  • Profile image for NickDiPerna1

    by NickDiPerna1

    Sunday, February 24 2013, 9:13PM

    “@bob
    I'm apolitical, but any reasonable thinking person can see that the so called "cuts" have so far not extended to the layers of bureaucrats who produce and provide nothing. But the bureaucrats have cut services to protect themselves and to shift blame towards the Tories who everyone knows steal milk from babies in the night. Two political gangs attacking each other at every turn isn't exactly advancing human development. Don't drag me into it.”

  • Profile image for Bob491

    by Bob491

    Sunday, February 24 2013, 8:21PM

    “Keeping most people poor keeps the over wealthy rich, which is why it is such a major plank in Con party policy.”

  • Profile image for democrat

    by democrat

    Sunday, February 24 2013, 8:13PM

    “Bob

    The Labour Party flooded the Country with 3 million low skilled and low value immigrants thus suppressing the market rate for jobs.

    Supply and demand. Take away the supply and the hourly rate goes up but keeping people poor keeps Labour in power”

  • Profile image for Bob491

    by Bob491

    Sunday, February 24 2013, 8:03PM

    “Quote: "Yet new rules state that Jobseekers have to accept jobs that pay the minimum wage of £6.19. Where was the moral outrage and opposition?"

    So why aren't you joining in the campaign against this dreadfully unfair Con government which is giving large tax cuts to the over wealthy whilst hammering the unwealthy?

    The Con government's policies are designed to force more and more people into lower and lower paid or even part time jobs, whilst their bosses pocket more and more and are being taxed less and less (those that bother to pay tax that is).

    The Cons even put up candidates who state publicly that they will send their children to private schools because then they will be handed the most lucrative jobs.”

  • Profile image for NickDiPerna1

    by NickDiPerna1

    Sunday, February 24 2013, 7:27PM

    “Labour deputy city mayor Rory Palmer said paying council staff £7.45 per hour is: "Morally....the right thing to do." It is so easy to be generous with other people's money. Yet new rules state that Jobseekers have to accept jobs that pay the minimum wage of £6.19. Where was the moral outrage and opposition?

    Local government pension contributions account for one-quarter of monies received as council tax. New official figures show just 26 per cent of private sector staff saving into workplace pensions pay into a gold-plated final salary scheme - compared to a huge 91 per cent in the public sector. For low-paid private sector employees, any pension scheme or perks enjoyed by the majority of council workers are almost non-existent.

    Despite low earnings and rampant poverty in the city, it was also announced this week that Leicester City Council is amongst the top three councils in the whole of the UK who pay staff more than £50,000, with 459 people earning more than this figure. What is the justification?

    Cuts to the vulnerable and council tax rises have also been announced recently. Would it be paranoid to suggest that something is seriously amiss here?”

  • Profile image for NickDiPerna1

    by NickDiPerna1

    Sunday, February 24 2013, 7:13PM

    “Part of the problem is that many councillors and politicians have never held a job outside the 'establishment'. Too many overeducated snobs present in the establishment and media toady. Many public servants in admin are also only 'paper qualified'. Working in production or retail with ordinary people for a few years should be a prerequisite for any public post or university placement. Even Iain Duncan Smith recently criticised unemployed graduates who consider themselves 'too good' for menial jobs. Don't know if he's done any himself though.

    Possessing an abrupt, non-PC language combined with libel laws, is another reason why working class people are struggling to articulate their experiences across to the mainstream. This is what happens when you live in a class-obsessed, elitist society like the UK.”

  • Profile image for Rachel_Leics

    by Rachel_Leics

    Sunday, February 24 2013, 6:07PM

    “sad to see :( x”

  • Profile image for Rachel_Leics

    by Rachel_Leics

    Sunday, February 24 2013, 6:07PM

    “sad to see :( x”

  • Profile image for NickDiPerna1

    by NickDiPerna1

    Saturday, February 23 2013, 10:43PM

    “prog_rock_fan. The lowest paid council workers are rich compared to me. Where do you draw the line? I do not advocate strengthening the state to break up private concentrations of power, or your Keynesian economic principles. Capitalist power could not survive without the state. An entirely new paradigm needs to be developed. One that rejects the traditionalism and economic elitism of the Right and the oppressive statism of the Left. One that draws upon the most enduring elements of both and goes beyond the obsession with left and right. Maybe I'm just dreaming, but there's nothing wrong with raising awareness.”

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