New Delhi: Modi government may soon put a cap on the proportion of contract workers that a company or an organization can hire to 40-50%.
The proposal is still in the working state and if finalized, it may help in diluting the opposition of various trade unions to the labor reforms, according to a report in the Economic Times.
The proposal may also stipulate that the wages given to the contract labors hired by the companies should not be less than the government prescribed minimum wages. It may also make it mandatory for companies to absorb the contract workers into permanent positions wherever such a position opens up.
The companies may also be mandated to provide a small annual increment to the contract labors. Further, a substantial increase in their wages once in five years may also be proposed provided that they have improved their skills to match that of regular workers.
Through the proposed changes to the Contract Labour (Regulation & Abolition) Act, the government aims to upgrade the skills of contract labors and help them to gain regular roles.
Facebook has decided to raise minimum wages to its outside vendors in the US to $20 per hour, and would implement the same for contractors in other countries including in India.
Content moderators and other contract workers will make at least $18 an hour, up $3 from before.
The contract workers at Facebook, employed by outside vendor partners, work either part-time or full-time and provide important services across content review, security, culinary, transportation and other teams.
Facebook is currently paying a minimum of $15 per hour, a minimum 15 paid days off for holidays, sick time and vacation and for new parents who don’t receive paid leave, a $4,000 new child benefit that gives them the flexibility to take paid parental leave.
“It’s become clear that $15 per hour doesn’t meet the cost of living in some of the places where we operate. This means a raise to a minimum of $20 per hour in the San Francisco Bay Area, New York City and Washington D.C. and $18 per hour in Seattle.
The move comes after several media outlets reported on the long-term impact of working as a contract moderator for Facebook, leaving some workers with symptoms of post-traumatic stress.
“We’ll be implementing these changes by mid-next year and we’re working to develop similar standards for other countries,” said Janelle Gale, Vice President of HR, and Arun Chandra, Vice President of Scaled Operations in a blog post on Monday.
For workers in the US that review content on Facebook, the company said it is raising wages even more.
“We’ll pay at least $22 per hour to all employees of our vendor partners based in the Bay Area, New York City and Washington, D.C.; $20 per hour to those living in Seattle; and $18 per hour in all other metro areas in the US.