STAFF working at the University of Chichester will now be paid the living wage for all who are based on its Chichester and Bognor campuses.
The decision means staff working for firms the university contracts to deliver catering, cleaning and security will now also benefit.
Contracted staff had been paid at or very near the national minimum wage, which is currently £6.31 per hour.
The living wage is currently set at £7.65 per hour.
Dan Sartin, branch secretary of UNISON West Sussex, said: “We are pleased that the university recognises the importance of the living wage.
“It is only right that all staff receive a fair day’s pay for a fair day’s work.
Steve Bell, a cleaner at the university and UNISON rep, said: “The student experience will be improved through better catering, cleaning and security services because how you reward and motivate staff is a part of that.”