Facebook Inc said on Monday, May 13th, it was raising its minimum wage for all US contract workers, reacting to rising costs of living as it faces intense scrutiny over the treatment of ordinary employees and their pay.
The company has raised its minimum wage to $20 per hour in the San Francisco Bay Area, New York, and Washington DC and to $18 per hour in Seattle. It said it was clear that $15 an hour would not now be enough to cover the needs of the workers it employs through third-party contractors as cooks, cleaners, security guards or drivers.
On the other hand, the world's largest social media company also said it will pay at least $22 per hour for content reviewers in the Bay Area, New York City and Washington, DC, $20 per hour to those living in Seattle and $18 per hour in all other metro areas in the United States.
“After reviewing a number of factors including third-party guidelines, we’re committing to a higher standard that better reflects local costs of living,” Facebook said in a blog post.
The social media giant last raised minimum wages for contract workers in 2015 to $15 per hour in its bid to narrow the widening gap between the technology sector’s elite and lower-paid workers.
Additionally, it said it would be implementing the changes announced today by the middle of next year and was working to develop similar standards for other countries.
Last year, Amazon.com Inc raised its minimum wage to $15 an hour after facing criticism over poor pay and working conditions. The online retailer said at the time that it would lobby Washington for the federal minimum wage to be raised.