How is a "living wage" defined?

A "living wage" is defined as a wage that meets basic living expenses, which includes the cost of housing, food, healthcare, and other essential needs required for an individual or family to maintain a decent standard of living. The concept of a living wage goes beyond just meeting the minimum wage laws, as it is intended to ensure that workers can support themselves and their families without having to rely on government assistance or fall into poverty despite being employed.

This definition emphasizes the importance of wages that truly reflect the cost of living in a specific area, rather than simply being an arbitrary number or benchmark. The goal of implementing a living wage is to provide a sustainable income that allows for a reasonable quality of life, promoting economic stability and reducing inequality within society. Therefore, the correct understanding of a living wage is rooted in its ability to cover fundamental living expenses comprehensively.