Ikea adopts the Living Wage

23 July 2015

Ikea has become the first large national retailer to commit to paying its UK staff the living wage.

This means Ikea employees will now be paid a minimum of £7.85 an hour, and £9.15 in London – a pay rise for 4,500 workers.

An ikea spokesperson commented; “Introducing the living wage is not only the right thing to do for our co-workers, but it also makes good business sense. This is a long-term investment in our people based on our values and our belief that a team with good compensation and working conditions is in a position to provide a great experience to our customers.”

The news constitutes a major victory for the Living Wage Campaign. The tide of public opinion is turning and there is increasing pressure on big employers to pay decent wages.

Rhys Moore, director, Living Wage Foundation said;

“This is a huge step in the life of the Living Wage movement and sends out a clear marker to the sector that businesses that can, should pay the voluntary rate, which is calculated according to the cost of living. The news is particularly timely given the recent announcement by the Chancellor who described the new, higher rate of the statutory minimum wage for over 25’s as a ‘national living wage’. Leading businesses, and increasingly consumers, recognise the need for a distinction between the rates. The Living Wage is a mark of responsible businesses, with accredited Living Wage companies choosing to go above and beyond the legal minimum”.