Be it resolved: The Board of Directors undertake a review and report to shareholders, by December 31, 2018, on the feasibility, cost and benefits of Loblaw Companies Ltd. implementing a Living Wage policy covering employees, suppliers and contractors.
Socially responsible companies are aware of the need to contribute to the economic well-being of the communities in which they operate. Direct and indirect employment is one of the tangible benefits companies provide to local communities.
Over the past decade public campaigns have evolved to ensure the lowest paid workers and contracted service employees, receive sufficient wages to meet basic needs and support families. These wages are defined as a “Living Wage” and are set at an hourly rate calculated on a metropolitan, regional or provincial basis. The rate is calculated annually and is based on a market basket of expenses including food, clothing shelter, transportation, childcare and other household expenses.Unlike the minimum wage, the Living Wage is a voluntary commitment to pay wages which reflects the income necessary to support families in specific communities. The wage is paid to all full-time, part-time and casual employees, includes base wages and non-mandatory benefits. The wage covers employees of suppliers and contractors who provide a set number of hours of labour or services per year. Employers who choose to make the commitment are known as Living Wage Employers.
The direct benefits of paying a Living Wage include staff retention, positive corporate reputation, improved productivity and staff morale. The indirect benefits include increased social capital and sustainable economic growth. Paying a Living Wage:
- Allows families to thrive and human capital to flourish by contributing to a more supportive environment for positive childhood outcomes.
- Contributes to prosperity and helps overcome economic stagnation by increasing consumer demand among lower wage earners.
- Is an investment in the company’s workforce and the community.