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News » Hidden costs of outsourcing digital labor in tech industry exposed

Hidden costs of outsourcing digital labor in tech industry exposed

hidden-costs-of-outsourcing-digital-labor
Photo from Daniel Irungu/EPA

PARIS, FRANCE — Outsourcing digital labor has become a cornerstone of the tech industry, allowing companies to cut costs and scale operations. However, as Sonia Kgomo, a former Facebook content moderator, revealed at the AI Action Summit in Paris, the human cost of this model is staggering. 

In a piece published in The Guardian, Kgomo recounted her experience working for Sama, a subcontractor for Meta in Kenya, where she endured grueling 10-hour shifts reviewing graphic and disturbing content.

“It was not just the type of content I had to watch that gave me insomnia, anxiety, and migraines; it was the quantity, too,” Kgomo explained

Workers were pressured to meet strict quotas known as Action Handling Time (AHT), leaving no room for mental health breaks or basic necessities. This exploitative system is emblematic of a broader trend within the tech industry, where companies outsource the most taxing digital tasks to low-wage workers in developing countries.

Calls for ethical standards in digital labor

Kgomo’s testimony underscores an urgent need for reform in outsourced digital labor practices. Now an organizer with African Tech Workers Rising, she advocates for better wages, mental health protections, and professional standards. 

“This work needs to be professionalized,” Kgomo emphasized, calling for living wages, reasonable work quotas, and robust health and safety protocols akin to those in other professions.

These issues are central to a class-action lawsuit in Kenya involving 185 former content moderators against Sama and Meta. While Meta claims its outsourcing partners provide counseling and healthcare and pay above local industry standards, workers report ongoing trauma and inadequate support systems.

Broader implications of outsourcing in tech

Outsourcing extends far beyond content moderation to roles like IT support, data annotation, and AI training—tasks critical to powering artificial intelligence systems. 

Despite promises of cost savings and efficiency, these roles often come with precarious labor conditions. Reports show that some data workers earn as little as $0.89 an hour while managing increasingly complex tasks like moderating videos at accelerated speeds on multiple screens.

Rethinking outsourcing practices for a fairer future

As AI technologies advance, the invisible workforce behind algorithms remains undervalued. Kgomo’s call to action urges policymakers and tech leaders to prioritize ethical labor practices over profit margins. 

“If you believe in a safer, more ethical internet, stand with us,” she urged.

The future of outsourcing must balance innovation with humanity by ensuring that workers powering digital transformation are treated with dignity and respect. Addressing these hidden costs is essential for creating a sustainable and equitable digital economy.

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