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The London living wage: Numbers and money


Photographs of office cleaners
 
The London living wage: Numbers and money

This table shows estimates of the numbers covered and the wages gained in the London living wage campaign between 2005 and 2012 (updated 5 November; new sign-ups mainly from list of accredited employers shown in italics).

Workplaces
(by sector)
Date first employers complaint Numbers
(by 2012)
Accumulated
Money**

Health: Homerton, Mile End, Whipps Cross, Kite Clinic Ltd, The Bromley by Bow Centre, Barts and the Royal London

2006

1000 (ft)
50 (pt)

£24,909,300
Finance: Barclays, Citigroup, Clifford Chance, Credit Suisse, Deloitte, Deutsche Bank, HSBC, KPMG, Lehman Bros, Macquarie, Morgan Stanley, Normura, PWC, Prudential, RBS, Standard Chartered
Bank of America, Credit Suisse, Deloitte, Goldman Sachs, Sarasin, CCLA, Aviva, ICAEW, Lloyds of London, Rathbones, Resolution Operations LLP, Sarasin, Scor

 

 

2005

 

 

1965 (ft)
1050 (pt)

£29,289,796
Legal: Allen & Overy, Bates Wells Braithwaite, Eversheds, Freshfields, Bruckaus Deringer, Lovells, Linklaters, Norton Rose, Slaughter and May, 11 KBW, Fellowes Associates, Match Solicitors, Lewis Silkin, Olswang 2010 830 (ft) £4,603,435
Misc.: Arena BLM, Argus Media, Aspen Oil, Clownfish Marketing, Connect Public Affairs, L’Oreal, R H Evans Architects, Renegade Pictures, Rengen Energy, Richard Hywelevan Architecture & Design Ltd, Stanton Williams, Thames McGurk Ltd, Waterhouse
Insight Public Affairs, Joiner’s Arms (Shoreditch), Kayleigh Plant Hire, O’Donovan Waste Disposal, Schools Offices Services Ltd, Syd Bishop and Sons Demolition
2010 88(pt) £565,943
Higher Ed.: Birkbeck/LSHTM, Goldsmiths, IoE, King’s, LBS, LSE, QMUL (doubled nos in 2011), SOAS, UoL Union, UCL, UEL

2007 (mid yr)

450 (ft)
450 (pt)

£7,342,009
FE: Bethnal Green Tech, City and Islington College 2011 30 (pt) £138, 528
Third Sector: ACEVO, Amnesty International UK, Bernardos, Big Issue, BioRegional, Business to Business Exhibitions Ltd, CAN Mezzanine, Children of the Andes, Children’s Rights Alliance for England, Citizens UK, Climate Change Group, CPAG, CSSA, Crisis UK, Ecologist, Ethical Property, Execution Charitable Trust, FoE, Food Commission, Forum For the Future Ltd, Free Tibet Campaign, Greenpeace, Groundwork UK, Healthy Living Centre, International Action Network on Small Arms, IPPR, Islington Ecology Centre, Jobs Go Public Ltd, Karmaram, Lifeline Project, LVSC, MedicAlert Foundation, NCVO, Oxford Research Group, Peace Direct, Quiet Revolution, Rainforest Foundation, Rethink, Safer World, Save the Children, SD3 Ltd, Sustainable Development Capital, The Ethical Property Foundation, The Young Foundation, Tindelmanor, Toynbee Hall, Trust for London, UnLtd, UNICEF UK, Westway Development Trust, Zaccheaus 2000
Action Aid, Age Concern Kensington and Chelsea, CAFOD, Capacity Global, Church Action on Poverty, Church Army, CIFAS, Cripplegate Foundation, Dyslexia Action, Fabian Society, Fairpensions, Labour Party, Lasa, London Community Fund, National Literacy Trust, New Economics Foundation, Poplar Harca, Resolution Foundation, Voluntary Action Islington, Women like Us
2005

210 (pt)

£1,317,763
Olympics* 2007 100,000 (ft) for 6 weeks £52,695,648
GLA family: City Hall cleaning and catering (inc traf sq café), London Fire Brigade
MOPAC (police), TfL

2005

2542 (ft)
865 (pt)

£35,537,312
Nat. Govt.: Dept for Education 2008 (mid yr) 30 (pt) £231,192
House of Commons 2010 (mid yr) 100 (ft)
62 (pt)
£1,138,738
Local Govt.: LB Lewisham
LB Tower Hamlets
LB Islington
LB Hackney
LB Camden, LB Hounslow, LB Lambeth
2010
2000 (ft)
2500 (pt)
£18,778,968
Schools: Hackney Free, Norlington School, Our Lady’s Convent High School, Notre Dame, St Charles Sixth Form College,
Trinity, Samuel Rhodes School
2009 50 (pt) £155,938
Arts: Tate, St Lukes Centre 2009
25 (pt)
£152,100
Retail: Lush 2011 50 (ft) £207,792
Total   108,937 (ft)
5430 (pt)
114,367 (total)
14,367 w/o Olympics
£177,064,461
£129,112,461 w/o Olympics

Italicised employers committed to LW during 2012 (and most of these are taken from the list of accredited employers, so others may be missing, and in some cases, these employers will have adopted the LW before 2012)

Source: Author’s calculations

Note about the calculations: These figures are calculated using the difference between the NMW and LLW except for those working in Canary Wharf and the City, and Lush, as research suggests that these workers were already paid about £1 more than the NMW and in these cases, half the difference has been used. Full time workers are assumed to work 36 hours a week for 52 weeks a year: 1872 hours a year (although many do work long hours of overtime which are not included here). Half the workers in higher education, all those at the London Fire Brigade, the GLA and MOPAC, those in the Third Sector, some of those working for Local Authorities and Universities, schools, the Tate, St Lukes, the DCFS and some workers in finance are assumed to work 15 hours a week as the vast majority are part-time: 780 hours a year.

The difference (or half difference) between the NMW and the LLW is applied to each hour worked for each worker for the years when the improvement in pay were in place.

In 2012 the new living wage rate was NOT announced as previously, in May or June, and the announcement was delayed until November. For these reasons, I have applied the 2011 rates to 2012. Calculations for 2013 will then use the new LW and the 2012 NMW rates.


The differences between the annual rates of the NMW and the LLW

  NMW* LLW** Difference Half Difference LLW w/o benefits
2003
4.50 6.40 1.90 0.95  
2004
4.85 6.50 1.65 0.83  
2005
5.05 6.70 1.65 0.83 8.10
2006
5.35 7.05 1.70 0.85 9.00
2007
5.52 7.20 1.68 0.84 9.15
2008
5.73 7.45 1.72 0.86 9.60
2009
5.80 7.60 1.80 0.90 9.85
2010 5.93 7.85 1.92 0.96 10.15
2011 6.08 8.30 2.22 1.11 10.40
2012 (6.18) (8.30) 2.22 1.11 10.40

* set by the Government funded Low Pay Commission (http://www.lowpay.gov.uk)
** calcuated by the GLA from 2005 (http://www.london.gov.uk/mayor/economic_unit/workstreams/living-wage.jsp)

* in relation to the Olympics, I have used ODA data published in September 2010 indicating that 82% of employment was compliant with Living Wage. At that time, 6,243 were employed on the park - assuming 10% were in low wage positions equates to 624 workers and 80% of these are assumed to have been getting the LW (500 workers).

During the Olympics, in the summer of 2012, some 100,000 jobs in cleaning, retail and security were filled for 6 weeks and these were offered at the living wage rate. The figures are calculated on the basis of the jobs being full time (36 hours) and comprising 216 hours in total.

** the accumulated money is based on annual calculations for the sector, depending upon compliance with the living wage during that year

Accredited living wage employers outside London (as at 5 November 2012)
Birmingham City Council
Brighton and Hove Community and Voluntary Sector Forum
Hermes
Highland College
Intact Centre, Preston
Isla Bikes
Jigsaw Support Services
Manchester College
NAVCA
Oxford Council
Pathway Intermediates
Penrose Care
Preston Council
Salix Homes
Scotswood National Community Garden
UPG Payments
Urban Cottage Industries
USSA
Vestigo
Wales and West Housing

Note: Information provided by the Living Wage Foundation but there will be other employers that are committed but not yet accredited.

Calculations about the impact of the living wage outside London include the employers in this table along with: Scotland’s NHS and Local Government (estimated to cover 20,000 workers); Aviva, Barclays, HSBC, Friends Life, KPMG, Standard Life, Standard Chartered (estimated to cover 6000 workers).

Calculations suggest that the outside London the impact covers an estimated: 30,006 workers redistributing £33,550,608

Jane Wills
Queen Mary, University of London
5 November 2012

 
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by Edward Oliver. © Queen Mary, University of London 2007
Department of Geography, Queen Mary, University of London, Mile End Road, London E1 4NS, Tel: +44 (0)20 7882 8200, Fax: +44 (0)20 8981 6276