Living wage stats: Hackney lags behind Islington and Tower Hamlets in fair pay stakes

Hackney Town Hall with sky

Hackney Town Hall. Photograph: Hackney Citizen

The Town Hall’s claims to be at the forefront of implementing fairer pay have been dealt a blow by a report revealing two neighbouring boroughs far outstrip Hackney in terms of numbers of employers accredited to the London Living Wage Foundation’s scheme.

There are just 12 London Living Wage-accredited employers based in Hackney, the London Assembly’s report states.

This figure compares unfavourably with Islington’s 41 and Tower Hamlets’ 22.

Hackney does however trump Newham (four employers) and Haringey (two) in the fair pay stakes.

Westminster has the most London Living Wage accredited employers of any London borough, with 48.

Numerous other councils are already accredited to the Living Wage Foundation, stating a commitment to address contracts with employees who receive less than the London Living Wage.

The Assembly’s report found low pay is particularly rife in the social care sector across London and warned this can be a driver for high turnover and inadequate care.

The Hackney Citizen has highlighted the issue of fair pay for years, arguing the council should pay all its workers – both directly employed and employed via contractors – at least the London Living Wage of £8.80 per hour.

The national minimum wage rate that employers are legally obliged to pay workers currently stands at £6.31 per hour for those aged 21 and over.

A Hackney Council spokesperson said: ““We know that, nationally and in our borough, low pay is an ongoing problem in certain jobs which is why it’s important that we raise awareness of the National Minimum Wage amongst our residents and employers.

“All directly employed staff are paid at least the London Living Wage.

“Our new contract for care workers will complete the process of securing at least a London Living Wage for all of the council’s contracted staff.”

Clarifying its position on its accreditation status, the council spokesperson added: “We have never sought, nor are we planning to seek, accreditation by the Living Wage Foundation.”

Update: this article was amended at 2.45pm Tuesday 4 March 2014. The original article stated that Hackney Council expects to receive certification from the Living Wage Foundation this year. This has been corrected.

Related:

Hackney Labour’s leaflets claim pioneering living wage status

Hackney Council to review London Living Wage policy

Leader – a living wage is a fair one