Facebook to pay contract and temporary workers more

Facebook is increasing pay and benefits for contract workers and people employed through third-party companies.

The new standards include a minimum wage of $15 an hour and at least 15 paid days off for holidays, sick time and vacation, chief operating officer Sheryl Sandberg wrote in a blog post on Tuesday.

For workers who don’t receive paid parental leave, the social-networking company has a $4,000 new-child benefit.

California's minimum wage is set to increase to $10 an hour in January from $9. The national rate is $7.25 an hour. Facebook's changes took effect for some teams at its Menlo Park, California, headquarters on May 1st.

The policy will be implemented more broadly within the year, the company said. “Taking these steps is the right thing to do for our business and our community,” Ms Sandberg wrote.

“Research also shows that providing adequate benefits contributes to a happier and ultimately more productive workforce.”

Facebook is the latest among Silicon Valley companies boosting compensation for contractors whose work can include food service, grounds maintenance and communications.

Shuttle- bus drivers serving Facebook, Apple, EBay. and Yahoo! voted in February to unionise. Apple agreed in March to a 25 per cent raises for its drivers. Microsoft said the same month that it would provide contract workers at least 15 paid days off annually.

US staffing companies hire out 14 million contractors each year, according to an estimate by the American Staffing Association. About 1.8 million of those work in the information-technology, scientific and engineering fields.

- Bloomberg