Wellington City Council is stepping up its living-wage campaign, to now cover all staff at council-controlled organisations.

The move means staff at Zealandia will also be included on the living-wage rate of $20.20 an hour from July 1.

The council is due to confirm the decision tomorrow.

While debating the draft Annual Plan, the council realised some of the funds put aside for capital improvements wouldn't be used in 2017/18.

So the decision was made to bring more workers on to the living wage, within the existing planned budget.

Living Wage Wellington co-ordinator Lyndy McIntyre said Wellington City had been leading the way on living-wage issues, and this was an exciting milestone.

"Becoming a true living-wage council means extending that to all the workers in the wider Wellington City Council workforce.

"It's something that's been overwhelmingly backed by the people of Wellington, again and again in consultation."

McIntyre said the next milestone would be when all contract workers were brought on to the living wage.

"There are still workers in the council workforce who are on poverty rates of pay.

"They're struggling to bring up families, they're struggling to find places to live in one of the most expensive cities in New Zealand.

"It's clear that the council takes that seriously, and is working hard to deliver on the promises that they've made."

Council living-wage portfolio holder Brian Dawson said it was exciting to be able to bring more people on to the living wage, without any extra cost to ratepayers.

The change comes within the budgeted 3.3 per cent rate rise for this year.

Earlier this year Wellington City Council committed to bringing some council contracted workers on to the living wage, including cleaners and security staff.