Boris Johnson: New London wage no threat to business

Fri 1 Aug 2008 at 2:18 PM

Mayor Boris Johnson has insisted companies would not lose out if they followed his lead on increasing pay.

He told Personnel Today he believes there will be little inflationary impact and urged companies to increase the wages of their poorest employees.

He maintained by paying the London Living Wage (LLW) businesses "might actually find it cost-effective in making staff happier and more productive, and reducing staff turnover".

Mr Johnson increased the LLW to £7.45 per hour despite the national minimum wage remaining at £5.52 per hour.

Some City firms have already implemented the increase - Barclays has confirmed workers in some of its industrial jobs have seen pay rise from £7.50 to £7.73 per hour.

His initiatives have received support from workers' unions. Megan Dobney, regional secretary for the Trades Union Congress, said: "Unions in London are committed to working with employers to promote the London Living Wage, lifting the standards of the low paid across London."

Randstad always has a number of industrial jobs on its books and vacancies for part time jobs.