Executive order issued on minimum wage for federal contractors and subcontractors
By Daniel S Herzfeld and Meghan D Doherty
On 12 February 2014, US president Barack Obama issued an executive order to raise the minimum wage for federal contractors and subcontractors under certain contracts, as he had foreshadowed in this year’s State of the Union. The executive order sets forth the new wage rate, when it may take effect and what contracts will be affected by this minimum wage increase.
As of 1 January 2015, the minimum wage for affected federal contracting and subcontracting personnel will be increased from $7.25 (£4.35) per hour to $10.10 per hour for new federal service and construction contracts (but not supply contracts) awarded based on solicitations issued on or after that date. (Meeting the 1 January 2015 date will be dependent on the Department of Labor and the Federal Acquisition Regulatory Council meeting the deadlines for issuing implementing regulations, as discussed below.)
Beginning 1 January 2016, and annually thereafter, the Department of Labor will increase the minimum wage using a cost-of-living adjustment (based on the Consumer Price Index for Urban Wage Earners and Clerical Workers)…
Click on the link below to read the rest of the Pillsbury briefing.
Sign in or Register to continue reading this article
It's quick, easy and free!
It takes just 5 minutes to register. Answer a few simple questions and once completed you’ll have instant access.Register now
Why register to The Lawyer
In-depth, expert analysis into the stories behind the headlines from our leading team of journalists.
Identify the major players and business opportunities within a particular region through our series of free, special reports.
Receive your pick of The Lawyer's daily and weekly email newsletters, tailored by practice area, region and job function.
More relevant to you
To continue providing the best analysis, insight and news across the legal market we are collecting some information about who you are, what you do and where you work to improve The Lawyer and make it more relevant to you.