The 'living wage'

Here in the UK the Government are discussing bringing out a 'living wage'.
We already have a legal minimum wage that is the least amount any employee can earn. Now they are starting a 'living wage' which is the amount the government believes is what it costs a person to live. At the moment the minimum wage is a legal necessity but the living wage is optional and employers do not have to raise wages to this but are being encouraged to use this wage system rather than the minimum wage so to reduce the amount of people at the lower end of the pay ladder who are currently needing welfare money to make their minimum wage upto the amount that is deemed a living wage. (I hope I explained it clearly because I confused myself then lol).
I fail to see why these 2 wages should be different. What is the point of a minimum wage if the government admits that is not arealistic amount of money to live on? If the living wage is the amount of money a person needs to be able to live with the basics then surely that should be the minimum wage?

I imagine their thought is that Minimum wage is That, where "Living Wage" is essentially what they have to Pay their employees yearly so that they don't HAVE to have a Second Job.

Well.... while I sort of agree according to logic......

According to business owners, it's not plausible to pay each employee a livable wage without going out of business, and that does not take into account a second income (or more) which may be coming into a household.

What if someone has a lot of dependents? Should the person with five kids get paid more for doing the same job w/the same qualifications than the single, childless person b/c they have five kids?

Quoting Back to Noob Status:" What if someone has a lot of dependents? Should the person with five kids get paid more for doing the same job w/the same qualifications than the single, childless person b/c they have five kids?"

Well, isn't minimum wage (in theory) according to only one person with no dependents? I would assume a "living wage" would be under the same guidelines, how much income one must have to support only yourself.

Quoting The Doctor:" Well, isn't minimum wage (in theory) according to only one person with no dependents? I would assume ... [snip!] ... I would assume a "living wage" would be under the same guidelines, how much income one must have to support only yourself."

Ah...that makes more sense if that is the case.

I don't think too many companies are going to pay a livable wage if it is only an option.

But I have heard that the UK has major problems with welfare. OP?

Quoting Back to Noob Status:" Ah...that makes more sense if that is the case. I don't think too many companies are going to ... [snip!] ... are going to pay a livable wage if it is only an option. But I have heard that the UK has major problems with welfare. OP?"

They also have a higher minimum wage than the US, if I remember correctly.

Quoting The Doctor:" They also have a higher minimum wage than the US, if I remember correctly."

And Australia and most of Europe. U.S.'s minimum wage is a joke apparently as it does not even keep up with inflation. :/

Quoting Back to Noob Status:" What if someone has a lot of dependents? Should the person with five kids get paid more for doing the same job w/the same qualifications than the single, childless person b/c they have five kids?"

That's a very good point.
I saw 2 people debating the living wage on the TV a few days ago and neither side won me over. I was actually left more confused about the subject than before hearing their points and not once was your point even mentioned.
I just couldn't see the point of bringing in this new wage system if it wasn't even going to be a legal necessity. Not many employers (in small businesses, not massive companies) would pay their workers more money than they legally had to.

<blockquote><b>Quoting Emmiboo:</b>" Here in the UK the Government are discussing bringing out a 'living wage'. We already have a legal minimum ... [snip!] ... wage is the amount of money a person needs to be able to live with the basics then surely that should be the minimum wage?"</blockquote>




Hey, why not! Lets all become like Greece!

Lets drive up the costs of EVERYTHING.

Quoting TheNuge:" <blockquote><b>Quoting Emmiboo:</b>" Here in the UK the Government are discussing bringing ... [snip!] ... the minimum wage?"</blockquote> Hey, why not! Lets all become like Greece! Lets drive up the costs of EVERYTHING."

Hell yeah.

I think it makes sense Although I guess it depends on how often the minimum wage goes up, here in Canada it seems to be changing very often to keep up with the cost of living. So, if it hasn't changed it awhile, then yes it makes sense.

Quoting Emmiboo:" That's a very good point. I saw 2 people debating the living wage on the TV a few days ago and neither ... [snip!] ... Not many employers (in small businesses, not massive companies) would pay their workers more money than they legally had to."

Yeah. I just don't see business owners paying more if they don't have to, sadly.

I think more nations should adopt a wage like Australia. High minimum wages.

Quoting Back to Noob Status:" Ah...that makes more sense if that is the case. I don't think too many companies are going to ... [snip!] ... are going to pay a livable wage if it is only an option. But I have heard that the UK has major problems with welfare. OP?"

The UK's welfare problems are huge at the moment.
Our previous government were very pro welfare and made it pretty much the easiest thing to live very well without the need to work. It was not only easy to get welfare but easy to con the system and get more than you needed. It is now at a point where adults who have been on welfare amost of their lives now have teenage children who are saying when they leave school they plan to be on welfare. Like it's a genuine career option!!!
IMO welfare is great and should be available to those who need it but only as a temporary measure until they no longer need it. People shouldn't aspire to be on welfare all of their lives.
Another problem with our welfare is it is too easy for imigrants to have it. At the moment anyone can move here from another country and immediately start claiming welfare. A lot of imigrants are even claiming welfare for family members who have since moved back to their own country. Even foreigners are learning how to fraud our welfare system. My SIL is Polish and she found a college course back in Poland about teaching people the loopholes in the UK welfare system!!!!!!
Our new government came into power in 2010 and promised to stop welfare abusers and cheats. So far they seem to have only stopped welfare from the 3 groups who seem to genuinely need it most.... the elderly, the disabled and families with young children.
It's a big mess at the minute.

<blockquote><b>Quoting Back to Noob Status:</b>" Yeah. I just don't see business owners paying more if they don't have to, sadly. I think more nations should adopt a wage like Australia. High minimum wages."</blockquote>




Sure. Drive the cost of pizza way up. Make the pizza shop owner pay the kids at the counter a living wage.
And, drive the cost of tickets to everything higher as the doofus at the popcorn machine deserves a living wage.