The world’s largest food company Nestlé is to pay the living wage to all of its employees including contractors.
Nestle has become the first major manufacturer to pay the wage to all of its staff, after extending the salary from it 8,000 employees to its 800 contractors by the end of 2017.
The living wage, which is £8.80 an hour in London and £7.65 an hour elsewhere, is measured on the basic cost of living in an area and is significantly higher than the minimum wage which is £6.31 an hour for those over 21.
Nestle UK & Ireland chief executive Fiona Kendrick said: "As a major UK employer, we know that this is the right thing to do. Not only does it benefit our employees but also the communities they live and work in.
Living Wage Foundation director Rhys Moore said: "We hope that the leadership they have shown will encourage others in this industry to follow suit and improve conditions for those at the lowest end of the pay scale and sub-contracted staff."
Tim Roache of the GMB union said: "This shows once and for all that if one leading manufacturer can pay a living wage to all employees, including young workers and those contracted out, then many more are able to do so."
