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Nashville organization encourages business members to pay employees 'living wage'

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Posted at 8:10 AM, Nov 17, 2022
and last updated 2022-11-17 16:12:25-05

NASHVILLE, Tenn. (WTVF) — During International Living Wage Week, Nashville Living Wage is seeking more members in an effort to help more residents earn a "living wage" as opposed to a minimum wage.

The organization holds businesses accountable for paying their employees a living wage; only certifying them as a member if all of their employees meet that threshold and they adjust when the living wage goes up.

"The minimum wage hasn't gone up in over 13 years, and the living wage that we use is determined by the survival wage for a single adult in Davidson County, based on the United Way ALICE report," said Shelide Mayer, board president of Nashville Living Wage. "There is a substantial difference because it's looking at what it actually takes to pay your bills without public or private assistance."

Tennessee's minimum wage follows the national minimum wage of $7.25 an hour.

"There was just a report that came out in the end of October that specified to rent in Davidson County, a one-bedroom apartment requires $71,000 annual salary, and that's a one-bedroom apartment. And so if you have any children or family members that are living with you and you needed more than a one-bedroom apartment, just think about having to make closer to $80,000-$90,000 a year," explained Mayer. "Thirty-four dollars an hour is what equates that 71,000 And so that's double what we're asking for for the survival wage."

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Nashville Living Wage Board President Aimee Shelide Mayer

Nashville Living Wage studied programs in other parts of the country in an attempt to help more businesses and employees.

"The leading program has nearly 500 employers and that's in Asheville, North Carolina, which is a smaller community than Nashville. We have put out that we would love to have 100 [members] a year from now," stated Mayer.

One of the group's first members was East Nashville Beer Works.

"Nashville Living Wage is an awareness campaign as much as anything else in knowing what the living wage actually is, and then looking at your company payroll, top to bottom and knowing exactly whether you're paying a living wage or not to all employees," explained East Nashville Beer Works President Anthony Davis.

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East Nashville Beer Works President Anthony Davis

Davis admits the brewery did have to make adjustments before they could become a Nashville Living Wage member and since have done the extra work to come up with a system where tipped employees also are ensured a living wage.

"For us, you know, there's the feel-good of it. There's the fact that we're going to retain more employees. There's the fact that it's the right thing to do," he said. "It was a no-brainer for us to look at it and go, 'Hey, if we can, if we can pull it off, you know...make sure we're paying a living wage to everyone.'"

An employee at the brewery said in a competitive job market, the fact that the company has committed to a living wage, creates a more positive culture.

"To feel valuable, to feel seen, to feel that you matter. It's going to motivate you to come in day in and day out. You know, our shifts get covered very quickly because people like making money, they have bills, they have their outside lives from work and it's very valuable to be able to go in someplace and leave feeling like you've made a difference. But you're getting reimbursed for it as well," said Michael Morbitzer, a brewer for East Nashville Beer Works.

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East Nashville Beer Works Brewer Michael Morbitzer

"It's extremely motivating for people behind the bars. A lot of times there's a distance between the back of the house in front of the house, and that could be stemmed from possibly that," explained Morbitzer. "But, to have a fair pay, to feel honored and valued at a company is going to kind of keep that at bay and the community between the front of the back of the house is one solid, you know, cohesive unit, and I think the pay — that's a huge part of it."

The nonprofit aims to grow for the sake of helping more Nashvillians earn a living wage, expecting it to also help the economy as those employees will, in turn, spend the money.

"It's not just that like it's the morally right thing to do. I mean, some will lead with that. But it will help you attract workers and maintain them, it'll boost employee morale. There's a lot of cost that goes into hiring and training when there's quick turnover. And we know right now Nashville has a job market that is really sorely in need of workers. There are now hiring signs up everywhere you go," stated Mayer. "This is one additional feather in your cap to attract not just numbers, but quality people as well and to maintain them and to really create an environment at your place of business that people want to be a part of and want to stay."

To apply to be a member of Nashville Living Wage, fill out the form on the organization's website.

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Nashville Living Wage said they aim to have 100 members by the end of 2023.