January 29, 2014

Future Federal Contracts To Be Covered By Higher Minimum Wage

Arnold & Porter Advisory

President Obama announced during his State of the Union address that he will issue an executive order raising the minimum wage for the employees of federal construction and service contractors from US$7.25 to US$10.10 an hour. This change mirrors the proposed increase of the federal minimum wage for all employers in the Harkin-Miller bill that is still under debate in Congress. Unless Congress acts and passes the Harkin-Miller bill, federal contractors soon will be subject to a significantly higher federal minimum wage than other employers.

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