The fifth annual State of the Nation report from the Social Mobility Commission draws on Living Wage Research for KPMG to highlight the pervasiveness of low pay throughout the country, with 5.2 people in England paid less than the real Living Wage.
The report finds that access to good jobs is a key driver for social mobility and recommends that local authorities should all become accredited Living Wage employers and encourage others in their communities to do the same.
Katherine Chapman, Director of the Living Wage Foundation, said:
"We welcome today's landmark State of the Nation report and the spotlight it shines on the low pay trap across the nation. The report rightly recognises the crucial role that paying the real Living Wage plays in supporting social mobility and calls on local government to support employers to sign up to the real Living Wage and ensure that the local council is also accredited. This is action that local authorities can take right now to help tackle inequality and support social mobility."
The report uses the examples of Islington and Brent Councils to demonstrate the role that local authorities have in boosting pay prospects for residents.
Earlier this year, CPAG and the Living Wage Foundation brought out a guide, Moving to the London Living Wage, showing the positive 'ripple effect' on local businesses when their council gets Living Wage accreditation and explaining the process and benefits of accreditation.