Dundee could be UK's first 'living wage' city

Employers have formed an alliance to boost the number of jobs that pay the voluntary living wage

A plan has been launched to make Dundee the first "living wage city" in the UK.

Employers have joined forces in order to boost the number of jobs which pay the voluntary living wage of £9.

More than 50 employers in Dundee have already committed to paying their staff and subcontractors the living wage, covering a quarter of all workers in the city.

Minister Jamie Hepburn said: "The significance of the living wage cannot be overstated."

• Scottish government unveils 'living wage nation' plans

An alliance has been formed between the city council, DC Thomson and the local chamber of commerce among other employers to carry out the voluntary living wage plan.

It comes more than a year after the Scottish government set out plans to make Scotland a "living wage nation" over the next three years.

Measures include a regionally focused accreditation scheme for employers to create the UK's "first living wage towns, cities and regions".

More than 50 employers in Dundee have committed to paying their employees the living wage

The voluntary living wage increased last year to £9, more than £1 an hour above the National Living Wage of £7.83.

Clare Goff, of the Living Wage Foundation, said: "Major employers within Dundee are working together to improve the lives of citizens and boost the local economy by making a real living wage the norm.

"The Living Wage Foundation has launched the Making Living Wage Places scheme to recognise groups of local 'anchor' institutions which not only pay the living wage to their employers and contractors, but which also seek to use their power and influence to spread living wage accreditation through their local area."

• 'Real living wage' rises to £9 an hour

Mr Hepburn, the Scottish Government's fair work minister, said: "Evidence shows that paying it leads to increased productivity, better morale and lower sickness absence. It also demonstrates to the world that an organisation is committed to treating its workforce well.

"While Scotland is making good progress in becoming a living wage nation, and punches well above its weight in terms of the proportion of people paid at least the living wage, more remains to be done.

"The Scottish Government is committed to doing everything in our power to put fair work and equality at the heart of our labour market."