Thursday, February 13, 2014

Some details still fuzzy on Obama’s minimum wage for federal contractors

President Obama will sign an executive order Wednesday raising the minimum wage for all federal contractors, but questions still surround how many workers will benefit from the move and how departments and agencies can comply without budget increases.
Labor Secretary Thomas Perez told reporters Wednesday that the order, which will raise the minimum wage from $7.25 to $10.10, will benefit “hundreds of thousands” of workers doing business with the federal government but could not offer a more precise figure.
The order will go into effect Jan. 1, 2015, and each new federal contract thereafter will have to comply with the new wage requirement. With that in mind, Mr. Perez said the number of contractors benefiting will rise over time.

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