Ethical Outsourcing Partner Higher Ring Earns TIER I PLUS Living Wage For US Employer Status

Living Wage Blog Uncategorized

NEWS PROVIDED JOINTLY BY

HigherRing and Living Wage For US Inc

12.17.2024 – 1:00pm

San Francisco, CA, December 17, 2024 – Ethical outsourcer, HigherRing, today announced that it has become a Tier I Plus Living Wage For US Employer, showing that HigherRing is publicly committed to ensuring that all of its employees earn enough to support themselves and their families with a decent living.

HigherRing is the ethical outsourcing partner for socially responsible companies. They harness business as a force for good and partner with impact organizations to lighten their load and further their purpose with fully managed, fractional, full-time, and team operations support. HigherRing creates remote, impact employment where their team members and clients are valued and supported in their efforts to advance us all toward a more sustainable world. HigherRing is a proud women-owned B Corp, a public benefit company, a 1% for the Planet member and is Climate Neutral certified.

The Living Wage For Us Tier I certification confirms that HigherRing has committed to taking actionable steps towards paying a living wage for all employees by initially meeting specific entry-level wage requirements. Employers certified at this level also pledge to increase wages for non-living wage positions by inflation plus three percent annually until all wage gaps are closed. The Plus designation highlights employers who adopt high-road practices, offering benefits that exceed basic living wage standards.

This certification level signals to workers that their employer not only recognizes the importance of their well-being from a basic human rights perspective but is also committed to enhancing their overall quality of life. By prioritizing worker satisfaction, employers like HigherRing not only reduce turnover but also contribute to the social stability and economic growth of the communities where their employees live.

We follow the globally accepted definition of living wage set out by the Global Living Wage Coalition as follows:

The remuneration received for a standard workweek by a worker in a particular place sufficient to afford a decent standard of living for the worker and her or his family. Elements of a decent standard of living include food, water, housing, education, health care, transportation, clothing, and other essential needs including provision for unexpected events.

Employers certified to the For US standard meet strict requirements that are publicly available and have engaged in a rigorous process of examining how their total remuneration packages ensure a decent quality of life for all of their U.S. based employees. Every employer certified through Living Wage For US has informed all affected workers of their commitment and reported minimum wage levels, and honors a worker voice mechanism that allows workers to anonymously engage directly with For US staff.

“HigherRing was founded in response to the unethical treatment I saw working with big retail and tech start-ups where team members on the front lines of the brand experience were treated differently than people at the corporate level” said Michelle Hirons, Founder & CEO.

“Workers were often hired as 1099 contractors with low pay and no benefits. This is why we are proud to become Living Wage For US certified because we know care for our team directly translates into care for our work, excellent performance and a worthwhile return for our clients,” Hirons added.

“HigherRing is one of the first staff outsourcing organizations to achieve certification with Living Wage For Us, demonstrating a strong commitment to ethical sourcing and fair treatment of workers. We are grateful for the leadership shown by living wage-certified employers like Higher Ring and are pleased to welcome them into our distinguished community of certified organizations.”

said Michelle Murray, CEO of Living Wage For US. “By supporting Living Wage For US Employers, people are ensuring that workers can live with dignity, jobs are more purposeful and secure, and that decent pay creates benefits for employers, for workers, for communities, and for US! The more consumers support living wage certified employers, the more employers will move toward voluntarily paying a living wage.”

About HigherRing
We are the ethical outsourcing partner for socially responsible companies and non-profit organizations.  HigherRing offers support in five service areas:

  • Customer Support
  • Executive Assistance
  • Financial Operations/Bookkeeping
  • Marketing Ops & Sales Support
  • Supply Chain Support

About Living Wage For US
Living Wage For US is a nonprofit organization with the mission to overcome the barriers and create the incentives to enable employers to pay living wages, affording a decent quality of life for working families. We envision a world where every family can afford a decent standard of living and every worker is fairly compensated without prejudice.

For US certifies U.S. employers that pay their workers and contractors a living wage based on real costs of living. More than that, we create a community to support employers in understanding how to pay living wages in a way that benefits workers, employers, and communities.  We engage consumers and other interested stakeholders through social media, telling the positive stories of those whose lives are affected by higher wages and building the business case for living wage payment. We use research to navigate the impacts of policy changes on how workers can achieve a decent living, creating a space where solid research leads to strong action. Our Standard was developed through a consultative process convened by Oxfam America, which included unions, labor advocates, leading employers, and gender justice organizations. We have sought to ensure that affected workers and employer champions had a strong voice in the process. We join in solidarity with all of you who believe that hard work should ensure a decent living, and celebrate the employers, investors, and organizations who are leading the way. For more information, visit livingwageforus.org.

Introducing the Living Wage Gift Guide

Living Wage Blog

2023 Living Wage Network Gift Guide

The Living Wage Network is proud to present our first annual living wage gift guide!

As you shop for your loved ones this holiday season, you can make a positive impact by purchasing gifts from companies that pay their employees a living wage! Use this guide to find the perfect gift for everyone on your list.

You can browse through the guide and shop directly on the companies’ websites, or if you happen to live in the area, stop by in person! All companies in this guide ship across the U.S. These really are the gifts that keep on giving.

Eat, Drink, and Be Merry!

What is the Living Wage Network?

The Living Wage Network is composed of U.S.-based organizations that encourage and certify employers that pay a living wage, significantly impacting the lives of thousands of low-wage workers across the country. We will lift up and support the work done by our partners, while growing and expanding local and state-based living wage projects. By linking organizations across the nation and creating a formalized network, we can expand and support the movement for living wages, and lift up employers who believe it is good business to pay livable wages to all workers.

Living Wage for US has been part of the Living Wage Network since 2022 and is happy to collaborate with the Network to highlight companies across the United States that are paying their employees a living wage. We believe the living wage movement needs the involvement of local communities as much as it needs the support of our global partners that join us in the Global Living Wage Affiliate Network. Check out our Partners page to see how we collaborate with organizations on the local, national, and global level.

Building a Living Wage System that Serves your Needs

Living Wage Blog

Living Wage For US (LW4US) offers more than living wage benchmarks and certification. We also provide valuable research, tools and guidance so that employers have the tools and support they need to move forward toward a living wage for all workers in the most cost-effective ways possible. Our goal is to make living wage payment a decision that benefits employers, workers and communities.

LW4US has assessed the living wage gaps of dozens of employers across the U.S. Providing each with valuable analysis of how their total remuneration, inclusive of benefits, compares to a living wage in each geography in which they operate. Thus far this work has spurred wage and benefits increases amounting to over $100,000,000 for workers in one year of operation. The resulting increases have had significant benefits to employers as well in terms of recruitment, retention, and productivity.

LW4US has implemented this analysis with a first in field, online total remuneration assessment tool. This allows precise identification of living wage gaps and suggestions for benefits that might provide extremely cost effective pathways for living wage gaps to be bridged.

The beta tool currently in use has received extremely positive feedback, but is only available on a cost per employer basis as it requires extensive engagement from LW4US staff. Additionally, the user interface requires manual data input that can seem daunting for large employers who haven’t yet experienced the tool and would feel more comfortable with options to upload whole sets of data. These challenges prevent LW4US from sharing the tool with the broad range of organizations that have presented new use cases.

We are redesigning the tool to advance the living wage movement. The tool shall:

1. Allow employers to assess how their total remuneration package compares to a living wage without price barriers to use;

2. automate many of the aspects of living wage certification to allow servicing of a large number of employers;

3. remove marginal cost of use for each new employer, thus allowing supply chain and funder use;

4. create a user-friendly experience with embedded guidance that allows less time investment by staff for living wage assessment and certification;

5. reduce the amount of time an employer must invest to complete a living wage assessment through excel uploads of data and potential integration with HR systems;

6. allow for quick adjustment to basic elements at low cost (new back-end data uploads, corrections to formulas for calculation, updates to text and layout, etc.);

7. Allow for easy visualization and tracking of data inclusive of changes over time and Impacts;

8. Provide a future proof tool that could be expanded globally.

A Visual of the Total System Integration Under Design:

Benefits

We expect the redesign of this tool to create extensive benefit to employers, workers, communities, and our entire society. It is designed to remove the barriers and create the incentives to make living wage payment achievable for all and profitable for business.

The tool has built in tracking measures so that the business case can be supported by large quantities of aggregated data. Thus giving employers the confidence to understand how, with the right benefits, they can pay a living wage and why the investment will pay off long term.

1. Creates a pathway for employers worldwide to easily assess and measure progress toward living wages for themselves and all of their value chains that they would like to engage;

2. Enables scaling of LW4US certification and advocacy toward living wage to achieve a world where every family can afford a decent standard of living and every worker is fairly compensated without prejudice;

3. Cuts costs – both labor time involved in each assessment currently as well as costs of maintaining and marginal usage fees for system use, thus enabling licensing of the tool for hundreds of suppliers to a company without any marginal cost for each company, encouraging further uptake;

4. Provides greater maneuverability for future growth as it will be designed to easily adjust to future global living wage benchmark data, expanding beyond the U.S.;

5. Allows employers to assess how their total remuneration package compares to a living wage and understand how to close gaps with the most impactful and cost effective benefits;

6. Automates many of the aspects of living wage certification to allow servicing of a large number of employers with minimal time investment from employers;

7. Creates a user-friendly experience with embedded guidance that allows less time investment by staff for living wage assessment and certification;

8. Allows data sharing between companies for a range of reporting uses without violating legal regulations;

9. Significantly reduces the amount of time an employer must invest to complete a living wage assessment through excel uploads of data and integration with HR systems;

10. Allows for easy visualization and tracking of data inclusive of changes over time and Impacts.

Different user groups will have different ways of interacting with this tool. So we need your help in providing feedback on its design. We have formed a number of focus groups for some key users and invite you to register today! If you don’t see a group for you and want to provide input, simply email us at info@livingwageforus.org and we will schedule some time to talk.

Small/Medium Size Employers

Th Feb 16 – 10 PST/1 EST – https://bit.ly/1Aregistration

Tu Feb 28 – 8 PST/11 EST – https://bit.ly/2Aregistration

Large National/Multinational Employers

Tu Feb 21 – 10 PST/1 EST – https://bit.ly/1Bregistration

M Mar 6 – 8 PST/11 EST – https://bit.ly/2Bregistration

Investors

Th Feb 23 – 8 PST/11 EST – https://bit.ly/1Cregistration

Foundations and Nonprofit Funders

Tu Mar 7 – 10 PST/1 EST – https://bit.ly/2Cregistration

Multinational Suppliers

We Mar 8 – 10 PST/1 EST – https://bit.ly/S1registration

Living Wage For US data shows over half of Americans earning less than a living wage

Living Wage For US data shows over half of Americans earning less than a living wage

Living Wage Blog Uncategorized

New certification system launches today to help employers analyze total remuneration, inclusive of benefits, and close the gap to a decent living for their workers

Sleepy Hollow, NY (November 15, 2021) – Across the U.S. today over half of American workers don’t earn enough to support themselves and their families at a basic level of decency from a human rights lens. U.S. based, non-profit organization, Living Wage For US (For US) celebrates global living wage week by launching a new certification system enabling employers to understand the wages and benefits necessary in their locations to achieve decency for all their workers, and to transparently communicate to investors and consumers through an earned seal, when they are paying a living wage.

In partnership with the Economic Policy Institute, For US has calculated values for living wages county by county across the US that include essentials for a family of four like food, housing, healthcare, transportation, childcare, retirement savings, taxes, and a small margin to buffer for unexpected events. In the age of Covid, a worker’s ability to weather unexpected situations has become increasingly pertinent. And as employers struggle to fill jobs, companies are looking for the right formula to attract or retain a much-needed workforce. First of its kind, the For US living wage standard and certification system provides in-depth understanding of how to structure a total remuneration plan so that workers earn a living wage while employers maximize the benefits and affordability of this investment in their workers.

Michelle Murray, founder and CEO of For US makes clear why a third-party living wage certification is so pertinent to the moment. “The need for a transparent understanding and communication on living wage is more apparent now than ever before as 2020 research from Just Capital shows that across all demographics, political affiliations, incomes, genders, and generations, Americans find payment of a living wage the most important issue that business should address. If employers can show consumers and investors that they are heeding that call, we can have a solution that works for workers, for employers, for communities, and for us!”

The For US standard and certification has the potential to support increased wages for tens of millions of workers across the United States. In efforts to highlight this endeavor, For US partners with the UK Living Wage Foundation, UN Global Compact, World Benchmarking Alliance, Share Action, Good Jobs Institute, Lean Enterprise Institute, and Living Wage Network, to deliver a series of events this week from November 15-19 celebrating global living wage week and launching its new certification system. These events offer opportunities to understand how and why a living wage certification can go the distance in delivering on the new purpose of a corporation, as set forth by Business Roundtable, investing in employees by compensating them fairly.

CONTACT:

Michelle Murray

Living Wage For US, CEO

+1-407-234-0293

michelle@livingwageforus.org

https://livingwageforus.org

Living Wage For US Selected for Uncharted’s Signature Accelerator Program Alongside Nine Early-Stage Ventures Tackling Economic Inequality in the U.S.

Living Wage Blog

Living Wage For US (referenced as For US)will receive $25k in funding, introductions to subject-matter experts, access to a peer support community, and mental health resources.

Sleepy Hollow, NY. September 15, 2021 — Uncharted announced today its cohort of ten early-stage social ventures for the Economic Inequality Initiative, a six-month accelerator supporting solutions addressing economic inequality in the U.S. Among them is For US, an early-stage non-profit national living wage certification system using the For US Standard. For US will receive $25k in unrestricted funding, access to a peer support community, and introductions to subject-matter experts like Ai-jen Poo, Co-Founder and Executive Director of the National Domestic Workers Alliance, and Edgar Villanueva, Founder and Principal of the Decolonizing Wealth Project. 

The economic divide in the U.S. is sharp and rising. In the decades since the great recession, middle-and-lower classes saw their collective wealth shrink by over 20%, disproportionately affecting women, people of color, and young people. “Economic inequality is the biggest problem of our generation,” said Banks Benitez, Uncharted’s CEO. “Generational problems require new and long-term ways of thinking, of building power, and of creating change. We’re honored to work alongside the entrepreneurs and activists leading the way.”

“We are so excited to be a part of the first Economic Inequality Initiative and see the support they provide as perfectly timed to help us gear up for our formal nationwide launch November 15th” said Michelle Murray, founder and CEO of Living Wage For US. “The connections and support within our peer group and beyond will really help us scale and drive the impact we want to see in the US, where ensuring a decent quality of living for workers provides benefit for workers, for employers, for communities and for US!”

For US was one of ten participants selected from a pool of 344 applications from early-stage ventures across the U.S. The ten selected ventures are closing wealth gaps in the U.S. through education, housing, small business assistance, financial literacy, and policy advocacy.

To learn more about Uncharted’s Economic Inequality Initiative and to meet the cohort of selected ventures, visit uncharted.org/eii.

ABOUT For US and the Living Wage Standard

For US certifies U.S. employers that pay their workers and contractors a living wage based on real costs of living. More than that, we create a community to support employers in understanding how to pay living wages in a way that benefits workers, employers, and communities.  We engage consumers and other interested stakeholders through social media, telling the positive stories of those whose lives are affected by higher wages and building the business case for living wage payment. We use research to navigate the impacts of policy changes on how workers can achieve a decent living, creating a space where solid research leads to strong action. We join in solidarity with all of you who believe that hard work should ensure a decent living, and celebrate the employers, investors, and organizations who are leading the way. 

Formally launching during living wage week November 15, 2021, we are already working with employers across all industries in the US to make living wage payment understandable and achievable. Overcoming the barriers and creating the incentives to enable employers to pay living wages, affording a decent quality of life for working families.

ABOUT UNCHARTED

Uncharted is a social impact accelerator that supports early-stage ventures tackling economic inequality in America. Our programs are fixed-term, cohort-based, and mentorship-driven. They are open to social ventures, nonprofits, movement builders, advocacy organizations, coalitions, and hybrid models.

Our results are exponential—for every $1 in funding we receive, our ventures generate $8.12 within two years, funding that they attribute directly to Uncharted’s support. For over 10 years, we’ve backed early-stage ventures with audacious goals. Equipping them to challenge the status quo is what we do best.

MEDIA CONTACT

Michelle Murray

Repair the American Dream for Workers

Repair the American Dream for Workers

Living Wage Blog

The American dream is alive, but fraying”. On August 19, 2019 Chairman and CEO of JPMorgan Chase & Co. and Chairman of Business Roundtable stated what many Americans already understand. It is increasingly difficult for U.S. workers to achieve economic mobility. But rather than being a harbinger of trouble, this statement is a beacon of hope. U.S. companies are beginning to understand that providing opportunity for workers and supporting communities is a fundamental tenant of how a business must operate to achieve long-term success.

Business Roundtable, a group of 181 CEOs that has issued principles on corporate governance since 1978, has finally changed tune on upholding shareholder primacy as the principle corporate purpose. For the first time since its formation, the group stated that the purpose of a corporation is to serve all of its stakeholders. Nearly 200 CEO’s have committed to a corporate purpose that:

  • delivers value to customers;
  • invests in employees;
  • deals fairly and ethically with suppliers; and
  • supports the communities in which they work

That’s great news for Americans. The question that follows such a grand statement is how do these CEOs put tooth to this commitment? Living Wage For US has been developing a solution since August 2018 that adapts the UK Living Wage Foundation model of living wage accreditation to the U.S. context and provides every American with the ability to hold companies accountable and incentivize good behavior with their consumer dollars.

We’ve begun by engaging employers, unions, community groups, academia, and worker representative groups in a conversation that explores both the business impacts of voluntary living wage payment, and the changes that it makes in the lives of workers and their communities. We are swiftly progressing toward launching a nationwide living wage certification and member community that will pursue a shared standard, agreed by all stakeholder groups, on what it means to pay a living wage based on the wide-ranging costs of living across the U.S.

This work is the beginning of creating transparency on the single issue of living wage payment. It simplifies an understanding of the impacts to workers, communities, and companies of paying a living wage to all workers, and creates a path that will remove barriers and reward a growing number of American companies that deliver on Business Roundtable’s newly stated purpose for American corporations.

But what does earning a living wage mean? And why is it important?

For Nishad Sayem, a Bangladeshi immigrant who moved to the U.S. to support his parents. It means the ability to care for them as they age and pursue a better future by taking IT classes. Before working for a living wage employer he worked two full time jobs. And that meant no money or time to improve his situation no matter how good the training programs available to advance his career.

For single mom Ciara Cody in Colorado, it means having the time and energy to care for her daughter. “I’m a much happier person when I leave work.  I’m more engaged with my kid at home.  I wake up everyday and enjoy coming to work. I don’t feel as stressed on bills and rent.”

Both of these American workers are better equipped through living wage jobs to contribute to their communities and the next generation of Americans. And their employers are seeing benefits of raising their pay as well. At Living Wage For US we’ve collected stories from employers likes Nishad and Ciara’s in unexpected industries like fast-casual food. They showed that increasing wages for their workers to a living wage, actually increased profits, as American communities and consumers rallied to support the voluntary move. But it is not just consumers that are looking for clear signs to reward companies that understand the importance of growing beyond shareholder primacy, investors too want to identify and reward living wage employers.

Together with the Economic Policy Institute, Living Wage For US has worked to estimate and then aggregate and align cost of living calculations in the U.S, with global principles on living wage that many companies are already applying in their supply chains. Creating wage levels that employers can understand when operating across the country and can implement for all of their employees.

We are working not only in lower paying industries, but also with employers that typically have higher paid employees, to help them understand how their commitment to workers extends beyond their own staff to the subcontracted workers essential to their operations, such as building maintenance, catering, and security staff. Extending their own living wage impacts to the wider community.

We have established a living wage standard with multi-stakeholder input that transparently defines what paying a living wage means, as well as how dropping benefits or hours to achieve living wage payments is to the detriment of living wage efforts.

The culmination of this work is the creation of a new living wage community that drives the case of why keeping the American Dream alive is the only way to ensure corporate success long-term.

Labor groups in the U.S. have long been working hard to raise wages for Americans as income inequality has grown to its highest level since the U.S. government began tracking data more than 50 years ago (US Census Bureau). Now that more companies are signing on to the idea that workers are valuable stakeholders in corporate success, it’s important to have metrics that are transparent and measurable to allow companies and consumers to publicly benchmark how employers are actually progressing against this commitment.

Living Wage For US is working to provide just that, through our national living wage certification program, so that consumers and investors can have the confidence that a Living Wage For US seal means all workers at a Living Wage For US Certified Employer, both employees and subcontracted staff, are on a tracked path to earn or already earning enough to support a decent standard of living for themselves and their families. We’re providing the tooth that the 181 Business Roundtable CEO’s, and every employer across the U.S., needs to support workers and their communities.

Living wages across the whole supply chain: focusing at home in the U.S.

Living wages across the whole supply chain: focusing at home in the U.S.

Living Wage Blog

‘Living wages’ has become a topic that is regularly and widely discussed, with increasing momentum behind initiatives across the globe. Stakeholders from different backgrounds and ideologies are coming together around the shared conviction that profit gained at the detriment of workers is simply unsustainable.

I recall the first multi-stakeholder living-wage meeting that I attended in Amsterdam in 2013, in the early part of this global movement. Sustainability leaders, certification systems, companies and ministries from three European countries were in attendance (U.S. policy makers were noticeably absent!). The purpose of the meeting was to begin building a common agenda to advance on living wages, with a focus on European procurement policies and supply chains in developing and transitional countries. But nobody was really discussing the need for living wages in “developed countries”. I remember asking a ministry representative if they planned to roll-out a living wage strategy domestically as well as internationally. The answer was no. Needless to say, this narrow view of the supply chain struck me as inadequate and has helped fuel my own work on living wages ever since.

Across the globe, individual companies and entire sectors are making major commitments to living wages, and some are putting real effort toward progress. Much of this effort has focused on workers at the bottom of supply chains – those working to produce raw materials or at manufacturing sites. Without a doubt, these supply chain workers are grossly underpaid and deserve living wages. Freedom from poverty is a human right, and many of the countries where these goods are produced are among the poorest in the world. And chronic poverty is a significant driver behind many other social problems – from food insecurity, physical and mental health issues, and poor academic achievement to child labor and bonded labor.

But we mustn’t forget that poverty and income inequality pervade even the richest countries in the world. Here in the United States, 50.8 million U.S. households struggle to put food on the table or pay for adequate shelter, routine medical attention, childcare, or transportation. 40% would find it difficult to cope with an unexpected expense of just $400. And low-income individuals in the U.S. have a lower life expectancy, and families suffer psychological consequences (JAMA, BMJ Open).

Over the last six years, my work has taken me to leading banana, cocoa, coffee and tea producing countries. When I talk about living wage, I am always dogged by a feeling of hypocrisy. And this is not lost on my international counterparts. Producer associations, growers, and unions alike have inquired whether living wages are paid in my home country. And the fact remains that most of those working on the front lines with American consumers – cashiers, grocery clerks, baristas, servers, etc. are not earning a living wage. Not to mention the people that care for us, our children and our elderly, keep are communities clean, and make life generally better – those that make up the fabric of our society.

What are we signaling to people of other nations when we push for living wages in their (often poorer) countries while failing to pay living wages in our own? And what are we saying to our neighbors when we focus on the wellbeing of people farther away while seemingly blind to those in front of us?

It is time for us all – employers, consumers and civil society – to look at living wage from a truly global perspective, including its imperative across entire supply chains, from production through consumption, and across every industry, whether consumer goods or services. Workers everywhere should be able to feed their families without sacrifice and afford a decent, if basic, standard of living. For employers – private, public, and non-profit – this starts by getting our own houses in order.

Peter Georgescu, Chairman Emeritus of Young and Rubicam, said it well:

What we desperately need now is not to abandon free market capitalism, but to correct its vision: to restore its broader sense of responsibility to multiple stakeholders, to our society as a whole.

Despite strong and well-intentioned advocacy and policy efforts, few places in the U.S. today have minimum wages that approach a living wage. Yet, according to Just Capital (2018), Americans rank living wage and worker benefits as the top considerations for U.S. companies. And while some employers have made living wages a top priority, there is no easy way for consumers and investors to identify which ones pay living wages, and how to support them.

Until now.

Living Wage For US is building a nonpartisan, market-led certification system that will focus on the entire supply chain, starting with U.S. employers that pay living wages to their own workers and contractors. Starting at home, we want to ensure that American workers are fairly compensated without prejudice. From there, we help certified employers build practical, global living wage policies that extend across supply chains and across the world.

This is an issue that affects us all and threatens our economy and international stability.

Are you concerned about living wages? Do you know if you pay living wages to your employees? Need help creating and implementing a strategy to improve worker wages, starting with your own U.S. operations?  Living Wage For US is here to help! www.livingwageforus.org

Voluntary Living Wage Payment – The issue where we all agree

Voluntary Living Wage Payment – The issue where we all agree

Living Wage Blog

I come from a family of opinionated conservatives, where debate at the dinner table is a way of life. I live in a city and work in a sector that tends to be dominated by liberals, where debate at any friendly gathering is equally essential. And I work on living wages, the one issue where I can get everyone to come together. I imagine I am getting some eyebrow raises with that statement about now. But give me a moment to explain why supporting voluntary living wage payment and living wage certification offers an opportunity for all Americans to come together to help solve an issue that has in the past divided rather than united us — the rising wage gap and income inequality.

Let me start by defining a living wage. At Living Wage For US, we adhere to the Global Living Wage Coalition’s widely accepted definition for living wage as “the remuneration received for a standard workweek by a worker in a particular place sufficient to afford a decent standard of living for the worker and her or his family. Elements of a decent standard of living include food, water, housing, education, health care, transportation, clothing, and other essential needs including provision for unexpected events.”

Now take a look at Just Capital’s 2017 Roadmap for Corporate America. It’s a compelling presentation of results from their large survey of Americans across political parties, ideologies, and demographics that shows Americans believe that the most important part of just business behavior is putting workers first. And among the different ways of putting workers first, Americans highlight living wage as the most important. But to make it even more clear, Just Capital has put together the chart below that shows how the issue is prioritized across the political spectrum.

It seems with some slight variation, living wage rises near the top in every group. So, if we agree living wages are important, is there a way for us to come together to make this a reality? The answer is yes!

Living wage certification is a bipartisan solution, and this is why: Minimum wage hikes concern many republicans who worry about damaging small business or costing jobs, or feel that wages should be set by the market. Tax incentives cause the same sort of worry from many democrats who have believe trickle down economic theories fail to meet the needs of working people.

But there is another way to approach the issue. This is where we at Living Wage For US propose a solution to pull Americans together — a living wage certification program under development that informs consumers and investors about businesses that have decided to pay a living wage to all of their workers, including those working on site but often subcontracted, like janitorial or security staff. Such a certification would create transparency about what a living wage is in a given area of the country, based on the changing costs of living, and be updated annually. The amount needed for a decent living in Tuscaloosa, Alabama where I grew up, is very different than the amount needed to sustain my family in Sleepy Hollow, a suburb of New York City, where I currently live.

A living wage certification with published rates provides a clear indicator to American consumers and investors of how they can make a difference on the issue, by simply choosing to shop, eat, or support with their dollars and investments the employers that pay a living wage. Living wage pay structures are already providing well-documented benefits to companies that choose to take this path. And I can attest to the fact that no matter which loved one I consult, everyone seems to be onboard with supporting companies that voluntarily support their workers, just as Just Capital’s research shows. Ta da! A nonpartisan way to solve one of the most pressing issues of concern for Americans.

OK, so now let’s look at the case of Amazon’s widely publicized recent wage increase to a minimum of $15/hr for workers to see if both parties do, in practice, rally together to support voluntary pay increases for workers.

The liberal perspective of this decision might be best summed up in the words of Bernie Sanders. On CNBC, after the announcement of the wage increase, Sanders stated “It is no secret that I have been a harsh critic of the wage and employment practices of Amazon and its owner Jeff Bezos. It has been my view that the middle class and working families of this country should not have to subsidize Mr. Bezos, the wealthiest person on Earth, because many of his Amazon employees earned wages that were so low that they were forced to go on government programs like food stamps, Medicaid and subsidized housing.” He then went on to say that “what Mr. Bezos has done is not only enormously important for Amazon’s hundreds of thousands of employees, it could well be… a shot heard around the world.” A pretty glowing endorsement from the liberal side.

Now to the conservative perspective. Conservative think tank American Enterprise Institute (AEI) and The Heritage Institute both published endorsements of Amazon’s decision while still broadly criticizing government mandated minimum wage increases.  According to AEI “we can be confident that Amazon boss Jeff Bezos, the world’s wealthiest person, has coolly calculated that it makes ample business sense for Amazon to raise the minimum wage it pays its U.S. workers to $15 an hour. The logic seems obvious. The boost would give the trillion-dollar retailing giant an edge over rivals such as Walmart and Target in the competition for increasingly scarce workers.” The Heritage Foundation published its 3 reasons to celebrate Amazon’s $15 minimum wage alongside 3 reasons to fear a $15 minimum wage. They firmly appreciated the voluntary increase in wages for the following stated reasons:

  1. Amazon’s move reflects a strong economy that benefits all Americans.
  2. Higher wages means more money and more opportunity.
  3. Higher wages reflect increased productivity.

I acknowledge that Amazon has also suffered some criticism about how it achieved targets to raise wages. Living Wage For US’s certification system and accompanying tools, with multi-stakeholder input, will provide clarity around how to reach living wage goals without inadvertently lowering incomes for some employees, thus avoiding critical backlash.

The point here is not to pass judgement on policy solutions presented by either side of the political divide, but rather to provide a path toward living wage that everyone can support. The point is to build a living wage certification that allows Americans to reward employers that do the right thing by paying their workers a living wage based on cost of living across the country. The point is to give you a way to support the businesses that get certified through investments, contracts, and consumer spending. The point is to create a community to help businesses figure out how to overcome the barriers that prevent them from paying a living wage. The point is to work together, across parties and ideologies to build a better America.

And if, like me, you are someone looking for a way to bring your loved ones together across our growing political divide, then consider this a path forward. And please, let us know if you would like to pay your own workers a living wage or support the effort we are working to launch this year. We need everyone’s help to address this monumental issue together, not as Democrats and Republicans, but as Americans.