Aberdeen City Council is backing a UK-wide call to employers to adopt the living wage.
It comes after the UK Living Wage rate for 2014-15 was set at £7.85, an increase of 2.6% on the 2013 rate.
The rate is 21% higher than the national minimum wage.
The Labour-led council in Aberdeen has paid the living wage to employees since 2012.
About 560 local authority workers benefit from the higher pay level, mainly female employees and those working as car park attendants, children’s escorts, cleaning staff, clerical assistants, domestic assistants, school crossing patrollers, support assistants and toilet attendants.
The council also pays the living wage to around 90 casual workers.
Council leader Jenny Laing said: “We are well aware that the cost of living in Aberdeen is high so we want to ensure our council employees have a living wage.
“By adopting the living wage as a minimum hourly rate we have increased the take home pay of hundreds of staff and by doing so we help them and their families. The benefit to the council is that it helps to increase staff motivation and retention.”
The national minimum wage is £6.50 and is set by the UK Business Secretary each year on the advice of the Low Pay Commission.