Pay rise for lowest paid

Cleaners, domestics, kitchen, catering, and gardening assistants, will receive the extra pay next month from their employer. 

The council introduced the Newcastle Living Wage in 2012 for its lowest paid employees on grades N1 and N2, so they could have a decent level of pay. Since then, it has aspired to match the higher Foundation or ‘Real’ Living Wage through a series of small increases.   

On Monday, the Living Wage Foundation charity increased its rate from £9.50 per hour to £9.90 largely due to higher fuel and rent costs. 

Last year the council agreed a policy change which implements the rise for its staff at the same time as the LWF rise, rather than wait until April 2022.   

 It means 1,115 staff will get up to an extra 40p per hour. Although it won’t be paid until the end of December it will be back dated from Monday, November 15. 

The move will increase the council’s pay bill by £137,000 for the rest of the financial year.   

Cabinet member for Policy Co-ordination and Communications, Cllr Stella Postlethwaite, said: “We have aspired to pay more to our lowest paid staff so they could have a decent standard of living. The Newcastle Living Wage will be 40p higher than the planned Government’s Statutory Living wage rate of £9.50. 

“The rise recognises the fact they do very demanding jobs in difficult circumstances and it’s only right they are fairly remunerated.   

“These are not luxuries but something we can do as a good employer to help our lowest paid staff get by which is getting harder due to rising energy and food bills which undoubtedly will create a cost of living crisis for many. 

 “Reducing the gap between the highest and lowest paid staff is also part of our wider commitment to make Newcastle a fairer city. The extra money is often spent in local shops so it’s a little boost for the local economy. 

 “Our staff do a great job for the city – sometimes unappreciated – so I hope it makes a difference considering everything they have been through with Covid.” 

Paul Gilroy, Branch Secretary of UNISON said: "UNISON Newcastle City Branch welcomes the news that the council once again intends to match the Living Wage Foundation. 

 “We believe that the Living Wage Foundation should be the minimum pay rate across all public sector organisations, as a large employer in Newcastle we acknowledge the council taking a lead in the city.”