A Future-Fit Fit Business pays all workers in all regions enough to meet their basic needs and secure essential services for themselves and their families.
What this goal means
A company should ensure all its employees and their families have the means to afford health coverage, to eat a nutritious diet and to be free of concerns about meeting basic needs.
A living wage affords a decent standard of living for workers and their families. Living wage estimates vary by region and guidance is offered by government agencies, academics and/or NGOs. In many regions, the living wage is higher than the legal minimum wage or poverty-line wage. Living wage calculations should focus on employee compensation with respect to standard working hours: figures should exclude overtime pay as well as productivity bonuses and allowances, unless they are guaranteed.
To be Future-Fit a company must pay all its employees at least a living wage.
Why this goal is needed...
Being in employment does not preclude living in poverty.
In the UK in 2014/15, there were 2.9 million people in work classed as living in poverty.
Wages in many developed countries have remained stagnant or fallen for many years, relative to inflation.
For instance, since 2000, normal weekly wages in the US have fallen 3.7% (in real terms) among workers in the lowest tenth of the earnings distribution, and 3.0% among the lowest quarter.
By mid-2017 over 3,500 organizations in the UK had been accredited as living wage employers
These organizations – which include one third of FTSE 100 companies – have been accredited by the Living Wage Foundation, and pay above the rates stipulated by the UK government.