More than half a million Yorkshire and the Humber employees earn less than a Living Wage

More than half a million employees across Yorkshire and the Humber are paid less than the Living Wage, according to new research published by KPMG.

The latest figures show 26% of all employees (519,000 people) in the region earn less than £7.85 per hour, the current Living Wage for areas outside of London and the amount experts believe individuals need to earn to cover the basic costs of living.

The worst off are employees in Harrogate, with 34% earning below the Living Wage, while 33% in Hambleton are paid less than £7.85 per hour. This compares to 23% of all employees in the UK, where around 5.84 million people earn below the threshold.

However, both Calderdale and Leeds outperform the national average, with 20% and 21% of employees paid less than the Living Wage.

Nationally, the proportion of workers earning less than the Living Wage has risen for the third year running.

Chris Hearld, KPMG’s North Region Chairman, said: “The past year has seen some notable achievements, with both the number of employers accredited by the Living Wage Foundation and awareness of the issue among the general public increasing.

“However, there is still a significant number of people across the region paid below the Living Wage. With the cost of living still high and household finances being continually squeezed, many are forced to live hand to mouth. The figures released today show that there is still more to be done if we are to eradicate in-work poverty.

“For some time it was easy for businesses to hide behind the argument that increased wages hit their bottom line, but there is ample evidence to suggest the opposite – in the shape of higher retention and higher productivity. While it can’t go unrecognised that many regional businesses face a number of challenges and it may not be possible for every business, it is certainly not impossible to explore the feasibility of paying the Living Wage and recognise the long-term benefits it brings.”