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More can be Done to get People Out of Working Poverty


Andy Bagnall, director at KPMG, comments on the increase in national minimum wage and national living wage at the Budget by the Chancellor.

He said:

“The increase in national minimum wage and national living wage is very welcome news for those on low pay, however businesses can still do more to help those employed earn enough to escape working poverty.

“The reality is that those at the bottom of the pay scale are really feeling the squeeze due to increases in the cost of living and decline in real pay. Paying the real Living Wage allows people to afford the basics they need. As employers we can take active steps to address this.

“Paying the real Living Wage also delivers real and tangible business benefits.  In our own firm it has improved staff morale and driven a rise in service standards, improved the retention of staff and increased our productivity.

“It may not be possible or practical for everyone, but all organisations need to do what they can to address the problem of low pay. Of course, change cannot happen instantly, but making an initial assessment is an important first step.”


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