Speaking on the opening day of the Conservative party conference, health secretary Jeremy Hunt stated that next April will see the next rise come into effect for the National Living Wage.
With the current level for workers aged 23 and over set at £10.42 per hour, Mr Hunt said the rise would take it to “at least” £11 an hour.
The FM industry has emerged as one of the most enthusiastic supporters of the National Living Wage, assisting workers to avoid or lift themselves out of poverty.
An estimate from the Low Pay Commission said the rate should be between £10.90 and £11.43 per hour for 2024 and its final recommendation is still awaited.
The government target for the National Living Wage for next year is that it will reach two-thirds of median hourly pay by October 2024.
Mr Hunt said that the rise will provide workers with a pay rise of around £1,000 a year.
FM service providers have reported improved reaction from clients in assisting them to pay the National Living Wage to their employees.
Some companies have stated that they will only submit bids for contracts that includes this aspect within the terms and conditions, while others have reported that they are continuing to negotiate with their existing clients.
In addition to the obvious benefits to workers, alignment with the National Living Wage is also credited with assisting clients and service providers to meet their ESG objectives.
