The University of Oxford plans to become a living wage employer after seeking accreditation.
It already pays central university staff the living wage.
Accreditation will mean the organisation will extend the living wage to all employees, including its contractors.
The UK living wage currently stands at £7.85 an hour.
Once accredited, the University of Oxford will join the National Union of Students (NUS) and City University London as related employers to pay the living wage.
A statement by the University of Oxford said: “For many years, Oxford has ensured that all those employed by the central university are paid the living wage.
“Accreditation means that the university is committing to pay the living wage not only to its employees but also to contractors who work regularly on university premises.”