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The minimum wage - which is the equivalent of £16,425 per annum - will apply to all permanent Barking and Dagenham Council staff and agency staff working on council assignments.
Council leaders say it reflects what people need to live on in London - and have called on other local authorities to follow suit.
Council Leader, Cllr Liam Smith said: “We have over 1,500 low paid workers and this decision impacts on those who need it most like cleaners, catering staff and teaching assistants - majority of whom are local residents.
“As a Council, we are committed to ensuring our lowest paid employees receive help in tough times, ensuring they are treated fairly in pay – a decision which supports our ambition to increase average household incomes across the borough.
"This will mean a better life for hundreds of workers and their families."
A London Council has announced plans to pay a minimum wage of nine pounds an hour to all its employees.
Barking and Dagenham says that it's the first local authority in the whole of the UK to guarantee that level of wage - nearly three pounds more than the national minimum wage (which is £6.19 for adults over the age of 21) and 45 pence more than the so-called living wage (which stands at £8.55 in London).