Google on Friday canceled minimum wage, health insurance and other benefits for its contractors and staffing companies.
Previously, employees received at least $15 per hour, reports Reuters.
Google has had a similar policy since 2019. At that time, the US National Labor Relations Board recognized Google as a «co-employer». The company hired workers through the staffing company Cognizant Technology Solutions, and had to negotiate with their union.
The rule was introduced that companies that indirectly control the working conditions of contract workers can be considered their employers.
Now there is no need to negotiate with trade unions.
A Google spokesperson explained that this decision, along with the restriction of access to internal systems for employees of contractors and vendors, was due to trends in labor legislation in the United States and around the world.
«With this decision, we are joining other large companies in emphasizing that Google is not and has never been an employer of our contractors’ employees,» he said.
In its turn, Google will require its vendors and staffing companies to ensure safe working conditions and comply with legal obligations. And most of them operate in states where the minimum wage is already set at $15.