ONE hundred firms have signed up to be Scottish Living Wage where employers guarantee a higher rate of pay for thousands of workers.

The living wage of £7.85 is worth around £100 a month more than staff on the National Minimum Wage for full time workers.

The benefit to the worker is obvious with more cash coming in, but employers have told of the reasons why it makes sense to pay the higher rate to give workers a fairer pay for their labour.

The firms which have signed up include large, medium and small employers across a range of sectors and also includes expecting suppliers and contractors to pay the Living Wage.

Staff retention, lower absence rates and for some just the right thing to do have been cited as reasons why they took the decision.

Bosses recognise the benefits and fairness in paying their staff a rate that make it more manageable to live on.

Music shop Guitar Guitar in Glasgow became a Living Wage employer and half of the firm's staff were given a pay rise to the £7.85 an hour rate.

The Glasgow store's boss said it helped keep good staff and helped ensure the staff remained motivated.

Ian Butterwick, manager of Guitar Guitar said: "The reaction has been overwhelmingly positive and we are proud to be the first in our industry to demonstrate our commitment to our staff in this way.

"We have always been a firm believer in "a fair day's pay for a fair day's work" and understand the wider benefits that this provides to the local community as well as the importance of our people as the foundation of our business.

"The business reasons for paying the living wage speak for themselves. We have a higher rate of staff retention and a more motivated and engaged workforce who feel valued and rewarded working for Guitar Guitar.

"We would encourage others to pay the living wage, not only for the obvious business reasons but to demonstrate a wider commitment and social responsibility to the community which we serve. "

Power company SSE is one of the biggest to be granted Living Wage accreditation.

A total of 148 out of 20,000 SSE staff were being paid below the Living Wage when it was introduced in September 2013.

They had their pay rise backdated to April that year and saw an average rise of £1000 a year

A spokesman for SSE said: "We believe paying the Living Wage is about doing the right thing, rewarding our employees fairly for their contribution to SSE's success and benefitting the communities in which we work and provide essential services.

"However the biggest impact we can make is through our supply chain which is worth around £2.5bn a year. "

The Poverty alliance has led the campaign to sign up as many employers as possible to the Scottish Living Wage

Peter Kelly, Director of the Poverty Alliance, said: "Over the past 9 months, we have seen more and more employers wake up to the benefits of paying the Living Wage.

"Research has shown that there are a number of benefits to companies, including a fall in absenteeism, lower staff turn over and enhanced quality of work.

"This is true for businesses of all sizes, and we have seen a lot of small businesses signing up over recent months.

"Employers such as An Clachan café, Guitar Guitar and Redmond's Bar have all shown that it is possible for small businesses to pay the Living Wage.

"The benefits of paying the Living Wage are clear and we hope to see more employers following the lead of those already accredited".

The Scottish wide scheme is in addition to the Glasgow Living Wage which will increase to £7.85 in April.

It is paid by the City Council its LLP firms like City building and City Parking , several housing associations including the largest, GHA and many other companies totalling more than 100, increasing the overall number of firms who pay the higher wage rate.

Council Leader Gordon Matheson has said the Living Wage is providing the respect workers deserve.

When he announced the Glasgow Living wage would increase he said: "It's a measure of a decent and progressive society that work should pay, but we live in a time when the majority of households living below the poverty line are working households. I find that offensive.

"An honest day's labour may earn you respect, but I firmly believe that it should also allow you to adequately provide for your family and loved ones."

Steven Homer set up Strata Cleaning last year and it only has a handful of staff.

Mr Homer and his business partner Kamil Mientki said they wanted to pay the Living Wage from the start.

Mr Homer said: "If we pay the Living Wage from day one then it is a normal cost for us and there is no increase to absorb at a later date.

"It is the right thing to do and is showing responsibility as an employer that the work is valued."

Cabinet Secretary for Fair Work, Skills and Training Roseanna Cunningham, said: "The Scottish Government fully supports the Living Wage campaign and we recognise by signing up to the Living Wage and paying their workers a better wage, employers will benefit from a workforce that feels more valued and motivated.

"The University of Strathclyde and the Living Wage Foundation's recent study into the business benefits of paying the Living Wage found it helps to increase staff retention, reduces absenteeism and enhances business reputation. Many employers have already discovered these benefits and we are confident that many more will sign up to the Living Wage and reap the rewards in the coming weeks and months. "