One million people should be helped out of low pay, according to a group chaired by the Archbishop of York.
The Living Wage Commission's year-long review says firms should be encouraged to pay £7.65 an hour, or £8.80 in London - rather than the minimum hourly wage of £6.31.
It's concerned families are becoming too reliant on food banks and "unsustainable debt".
Tom Skinner is co-ordinator of the Greater Manchester Living Wage Campaign and told Premier's News Hour why thinks employers have a duty to pay it.