Swedish furniture (and just about everything under one roof) company IKEA has become the first company to act as a ‘Living Wage Employer’.
The company announced details of their plans earlier this morning, which will see the furniture outlet raise its base rate for employees.
The move will see employees in the UK stores receive a basic pay of £7.85 per hour, as opposed to the current minimum wage which is set at £6.50.
The rate aims to match the cost of living, and those who live in more expensive cities will see that reflected in their pay packets – with London employees set to receive £9.15 per hour.
IKEA has been praised by the Living Wage Foundation for taking the step, with director Rhys Moore adding:
“It sends out a clear marker to the sector that businesses that can, should pay the voluntary rate.”
The plan is set to be rolled out in 2016.
