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Council secures higher pay on Capita’s Sheffield contract

16 December 2016

A higher minimum wage for employees of Capita working on behalf of Sheffield City Council has been agreed.

Following discussion with the council, Capita will now pay its workers on the Sheffield City Council contract a minimum of the Foundation Living Wage which is higher than the national minimum wage of £7.20 an hour.

Capita join Cordant Cleaning and Norse Cleaning who also provide services for the council and recently agreed to pay the Foundation Living Wage. The move is expected to benefit around 20 Capita employees, who are currently paid the national minimum wage or above, out of 300 working on the council contract.

Councillor Ben Curran, Cabinet Member for Finance and Resources at Sheffield City Council, said: “I’m pleased that Capita has joined the list of key service partners who pay the Foundation Living Wage to staff working on contracts with the council.

“The Living Wage is important to us. It is about people being paid a fair wage for the work they do. We were one of the first councils in the country to pay our staff the Foundation Living Wage and we’re working hard to encourage other employers in the city to pay this.”

The agreement with Capita was reached last month when the Foundation Living Wage was £8.25 per hour.  A new rate has since been set at £8.45 per hour by the Foundation Living Wage, which has asked organisations to pay this rate within six months. Capita and Sheffield City Council will work together in March to seek to introduce this.

The agreement is specific to the Sheffield City Council partnership contract and its commercial structure.