Written by Admin | 20 Nov 2024
Summary
An increase to the Voluntary Living Wage was announced on 23 October 2024. For Living Wage accredited employers, these new rates will need to be implemented before
1 May 2025 if your minimum pay rate is not already at or above these new rates.
Who does this apply to?
This bulletin is relevant to all schools and trusts that are accredited Living Wage employers
or who wish to apply the rates as a discretionary decision. For some employers, the start of your pay scale will already pay a higher hourly rate than the voluntary living wage increased rates. If this is the case, you will have no further action to take.
What does the change mean?
The Voluntary Living Wage, not to be confused with the statutory National Living Wage (currently £11.44, rising to £12.21 from
1 April 2025 for those aged 21 and over), has increased as follows:
- London: £13.15 to £13.85
- Other areas: £12.00 to £12.60
Employers who are Living Wage accredited employers have until
1 May 2025 to implement these rates for all employees aged over 18 and have an obligation to seek the same reassurances from their contractors. Other employers who have not signed up with the Living Wage Foundation may apply the rates as a discretionary/policy decision.
What action is needed?
If you are an EPM Payroll customer and/or your EPM service includes administration, and intend to apply the new Voluntary Living Wage rate or commence payment in the future, please complete the following survey:
Living Wage - Voluntary or Accredited. You will need to confirm which employees this will affect and the date from which this increase will apply. If you need further advice and guidance on the Voluntary Living Wage, please do not hesitate to contact your EPM People Adviser who will happily assist you.
Deadlines for notification
The deadline for notifying EPM of your decision(s) is no later than the 1st of the month prior to implementation.
Please consider these deadlines before confirming with staff the month they can expect to receive the increase in their pay. To ensure we can implement the increase for the relevant month, please input and authorise the payroll for the preceding month at the earliest opportunity to allow adequate time to apply your decision and update your salaries as required.
Useful links
For further information please contact your EPM People Adviser.