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National Living Wage: first national retailer joins campaign

27 July 2015 #Employment

Ikea is leading the way in the campaign for a National Living Wage, becoming the first large national retailer to announce plans to comply with the new rates.

The Swedish firm has promised to ensure all UK employees earn above the National Living Wage, including those below the age of 25. Ikea has 18 stores in the UK, and with over 9000 UK employees, this announcement is expected to benefit over 4,500 people.

Chancellor George Osborne recently announced in his Budget that the Government would be introducing a new National Living Wage, which would apply to workers aged 25 and over.

This new legislation has not been without controversy, with CBI director-general publicly showing concern for the impact this will have on businesses. However this move from IKEA mirrors that of John Lewis in late 2014, pledging to repay backdated holiday pay before the law in this area had even settled. Like John Lewis, IKEA relies heavily on public image and corporate social responsibility.

The existing minimum wage for people over 21 is £6.50 an hour.

Clarkslegal, specialist Employment lawyers in London, Reading and throughout the Thames Valley.
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Helen Beech

Helen Beech

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Employment team
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