New Delhi, April 28: Google has announced it would be revising a policy requiring its US suppliers and staffing firms to pay their workers a minimum wage of USD 15 per hour and provide them with health insurance and other benefits. "Joint employers" in the United States have been the subject of a larger discussion over the past few years.

As per a report of Times Now, the ruling in the Cognizant case has prompted Google to update its policies regarding minimum wage and benefits for its suppliers and staffing agencies. The previous policy, implemented in 2019, had been a point of controversy because it had not clearly defined the position of who exactly employs these contract workers. In response to the policy, a discussion has taken place concerning labour regulations and the responsibilities of employers who use temporary or contract employees. Sundar Pichai Marks 20 Years at Google, Says ‘A Lot Has Changed, From Tech to My Hair’.

As per a report of Times of India, in January 2024, the National Labor Relations Board (NLRB) ruled that Google was a "joint employer" of workers supplied by Cognizant Technology Solutions. This decision required Google to enter into negotiations with the union representing these contract workers. Google states that the 2019 policy was misunderstood and the company has never directly employed these contracted workers.

 The elimination of the 2019 policy could potentially allow Google to avoid having to negotiate with unions representing contract workers in the future. Google explains that this change is designed to align its practices with the evolving labour regulations in the US and globally related to contingent or contract-based workers. Android 15 Likely To Launch Next Month at Google I/O 2024; Check Compatible Devices and Know Expected Features.

Many of Google's suppliers are located in regions where the minimum wage is USD 15 or more, which may alleviate certain financial consequences. Google has stated its commitment to upholding a supplier code of conduct post-policy alteration, mandating vendors and staffing agencies to ensure safe working environments and comply with all legal requirements.

(The above story first appeared on LatestLY on Apr 28, 2024 05:45 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).