More than 76,000 workers across Scotland are set for a pay rise after the Real Living Wage was increased to £14.10 an hour.
The voluntary rate has risen by 65p an hour, with more than 4,000 accredited employers expected to pass on the increase.
New figures show the Living Wage campaign has delivered almost £5bn in extra pay to low-paid workers across the UK since it launched 25 years ago, including nearly £730m in Scotland.
Analysis suggests a full-time worker on the new rate would earn more than £2,700 a year above the current UK Government minimum wage.
Peter Kelly, CEO of the Poverty Alliance, said: “Thousands of workers in Scotland are struggling to make ends meet and are unable to plan for their future due to low paid, insecure work and high living costs.
“Employers have an important role in tackling poverty, and we commend the leadership of more than 4000 accredited Living Wage Employers in Scotland that have already taken a stand to ensure workers can earn a wage that covers their needs, even in challenging economic times.
“For too many people in Scotland, work is not an effective route of out poverty. We need more jobs that pay at least the real Living Wage as a first step towards ending the injustice of in-work poverty in Scotland”.
More than 2,000 new employers signed up to pay the Real Living Wage over the past year, including Uniqlo, the Department for Business and Trade and Coventry Building Society.
Moreland McDiarmid, managing director of Capital Service Solutions Group, said: “Paying the real Living Wage is about more than meeting a threshold; it’s about recognising the value of people and creating workplaces where employees can thrive.
“As an accredited Living Wage Employer, we’ve seen how investing in our people supports retention, wellbeing, service quality and ultimately benefits both our employees and our business.”
Scottish ministers said the increase would help workers cope with continued cost of living pressures.
Tom Arthur, minister for business and fair work, said: “I welcome the rise in the real Living Wage to £14.10 per hour as the real Living Wage is an important part of our commitment to Fair Work in Scotland, helping to support workers through the rising cost of living, and to break the cycle of in-work poverty.”
He added: “With more than 4,000 accredited employers in Scotland, around 76,000 workers should benefit with extra money in their pockets to help meet the rising costs we continue to face.”
Emily Sawh, co-director of the Living Wage Foundation, said: “Today’s increase to the real Living Wage will make a massive difference to hundreds of thousands of workers and their families up and down the country.
“Despite the Living Wage campaign’s monumental impact on wages in the UK, there are still millions of workers trapped in in-work poverty and struggling every day to make ends meet. They’re forced to skip meals, fall behind on bills and visit foodbanks.”
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