Shaw Healthcare to pay staff real living wage

Care home operator Shaw Healthcare has decided to pay its 3,200 employees the real living wage regardless of their length of service.

As of 1 March 2022, depending on roles and the existing pay scale, all members of staff will see an increase in their salaries of between 3% and 10% per annum, with the lowest paid receiving the highest increase. The minimum that any employee will earn is now £9.90 per hour.

According to the business, the decision to do this is a way of showing its gratitude to its workers for their continued “hard work and compassion” throughout the Covid-19 (Coronavirus) pandemic. The pay increase is illustrative of the company’s commitment to spend an additional £2.9 million per annum on all employees’ salaries, which will result in a total investment of £6.3 million for the organisation.

In addition, the increased national living wage and newly introduced national insurance levy as announced in the UK government’s Autumn budget equates to an extra £3.4 million spend in the operator’s annual budget.

Back in May 2020, Shaw Healthcare created an employee ownership trust by offering staff free shares, share options and opportunities to sell shares, increasing the sense of ownership, engagement and involvement in the company. Since then, it has paid £2.3 million in bonuses, with each employee receiving up to £950 in tax-free payments.

Shaw Healthcare’s chief executive officer Russell Brown commented that, as an employee-owned company, the decision to start paying the real living wage from the beginning of March felt like a “natural progression”.

He added: “We whole-heartedly acknowledge that it’s our employees who enable Shaw to maintain an excellent level of care, even during challenging periods such as the pandemic.

“So, I’m delighted to announce that in addition to the bonuses that we’ve already paid there will also be a well-deserved pay increase for everyone as recognition for their dedication. Well done and thank you,” Brown said.