Joseph Rowntree Foundation (JLF) have published a report on the hidden cost of low pay in the social care sector which notes that while adult social care workers play a critical role in caring for the most vulnerable members of society, their wages remain amongst the lowest across the job market.
As of March 2024, 40% of adult social care workers in England earned below the Real Living Wage (RLW). At the same time, the sector experiences persistently high turnover rates, even when compared to other low-paid industries such as retail and hospitality.
Meanwhile, low pay costs go beyond the financial costs of increasing wages. The costs of recruitment, inefficiencies, waste and lost output caused by regular and extensive staff turnover are considerable and remain hidden.
Concluding that turnover is a drain on the output of the sector, JRF say increasing pay across social care to the Real Living Wage or higher would require additional resources, but could also generate significant savings.
