Newham has the highest number of residents earning less than the London living wage
PUBLISHED: 13:06 28 March 2019 | UPDATED: 09:19 01 April 2019
Even though Newham has improved on the number of residents working in low-paying jobs, it is still the worst in London, according to new analysis of government figures.
The poverty charity Trust for London and New Policy Institute, an independent think tank, found 32 per cent of people living in the borough earned under the London living wage of £10.22 an hour in 2018 (the Living Wage has since gone up to £10.55).
In 2017 the charity found that 36 per cent of residents weren’t paid the living wage.
Despite the improvement, it is still far above the London average.
But the capital as a whole has seen more people paid below the living wage. In 2017 it was 21 per cent, a year later it was 23 per cent.
Commenting on the data, director of policy at Trust for London Manny Hothi said: “We all believe that work should be a route out of poverty. But almost a third of working Newham residents earn less than the real living wage.
“Their wage is less than the amount required to make ends meet.
“We need to reduce the costs of housing, childcare and transport, whilst also increasing incomes.
“Co-ordinated action from local businesses, councils and the GLA is needed to ensure that more employers in Newham, and across London, are paying workers at least the real Living Wage. This will make a real difference.
“Those organisations who want to pay their employees a fair wage but need help to get there, can get advice and support from the Living Wage Foundation and the Better Work Network.”
The number of workers paid under the London living wage reached 760,000 in 2018, that’s 60,000 more than the previous year.
The number of jobs that are low paid in Newham is also at 32 per cent.
This refers to the number of jobs paying under £10.20 in Newham, though people from other boroughs can work them.
Unlike, number of residents in low-paying work, Newham is not the worst here. It takes 24th place.
Because of the financial district, neighbouring Tower Hamlets has the lowest rate of low-paid jobs at 11 per cent, though that’s coupled with its place as the worst borough for income inequality.
The analysis is based on data from the Office of National Statistics.