This autumn saw the Living Wage Foundation announce an increase in the Real Living Wage to £12 in the UK and £13.15 in London.
For over four years, the Tudor Group has been a Recognised Service Provider, working in collaboration with the Foundation to advocate for this higher per-hour pay. This commitment reflects an understanding of the multifaceted benefits that fair pay brings to employees, clients, and society at large.
The Tudor Group’s pledge to deliver the Real Living Wage illustrates just how seriously the company takes the issue of fair pay. The advantages of a fair wage go further than the immediate employee, bringing further positive effects to wider society.
Our people matter
Implementing the UK’s Real Living Wage boosts employee morale and well-being. Providing wages that are sufficient to meet basic needs reduces financial stress for employees and encourages a focus on personal growth and productivity. Staff turnover reduces, with workers more likely to stay with employers who pay them fairly. That saves companies the costs associated with frequent recruitment and training.
We believe that remunerating employees fairly leads to an enhanced sense of job satisfaction and loyalty. Employees who feel their wages accurately reflect their work are more likely to feel valued and appreciated by their employer. This sense of value boosts motivation and productivity, characteristics we want to see in our building and technical services and specialist cleaning operations.
Fair pay contributes to a healthier work-life balance, since increased financial stability lets people focus on their work without the constant stress of making ends meet. This balance is crucial for mental and emotional well-being, and it often results in a more positive and productive work environment.
Paying a Real Living Wage enhances an employer’s brand, increases staff productivity and motivation at work, and helps employers remain competitive. Over half of the employers who pay this higher amount reported an improvement in the quality of job applications, indicating its role in attracting higher quality talent. Over a third of employers found that the Real Living Wage helped their organisations secure contracts and funding, so it’s clear there’s a boon for business in competitiveness
According to the research, 87 per cent of employers said it improved their reputation, and 66 per cent stated it helped them differentiate from others in their industry. Sixty-two per cent reported improved recruitment of employees into their business. There’s a definite role for this initiative in not only attracting talent but also in distinguishing a business in a crowded market.
The Real Living Wage is appealing to a wide range of stakeholders, with an impressive 93 per cent of university students saying they’re attracted to so accredited organisations. Eighty-five per cent of investors regard investment in employees as an important factor in their decision making, with 62 per cent specifically valuing this accreditation. This shows the growing influence of social responsibility in consumer and investor behaviour.
Paying that bit extra over the minimum could boost the UK economy significantly, with research finding that if just a quarter of low-paid workers were uplifted to the Real Living Wage, it could inject an additional £1.7 billion into the economy. This increase would result from a combination of higher wages, improved productivity, and increased consumer spending.
Paying that bit more is a strong move towards tackling in-work poverty and boosting the local economy. Increased financial security for workers leads to more spending in local communities, driving economic growth. This approach provides a “double dividend” for communities, not only helping families avoid financial hardship but supporting local growth through productivity gains and additional consumer spending. This is particularly crucial given the current cost-of-living crisis.
Over 14,000 employers across the UK, including major corporations and SMEs, have committed to paying the higher rate the Living Wage Foundation stipulates. This commitment extends beyond being a corporate policy to a broader social strategy that benefits not just employees but also wider society.
By ensuring that the lowest paid members of staff earn a wage sufficient to live on, these employers are setting a standard for responsible and ethical business practices. The initiative demonstrates that offering fair wages is morally sound and makes good business sense, improving the well-being of society as a whole.
Fabien Caqueret, Managing Director at the Tudor Group, comments:
“Our adoption of the Real Living Wage is a commitment to societal well-being. This initiative contributes to poverty reduction, economic stimulus, healthier communities, and overall societal improvement.
“The benefits of paying more underscore the value of responsible and ethical business practices in creating a more equitable and sustainable society. Without our employees, we wouldn’t have achieved success like our latest contract wins.
“Our colleagues work hard and we want them to know how much we value them, so it’s important we pay them fairly for all the work they do.”
Interested in working with a first-class facilities management company that believe in fairness and quality? Get in touch with The Tudor Group team today.