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ARTICLE · 08 OCTOBER 2014

Important Changes To Minimum Wage Laws For Federal Contractors

Fox Rothschild LLP
Fox Rothschild LLP
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On January 1, 2015, pursuant to Executive Order 13658 (EO), the minimum wage for federal contractors and subcontractors will increase to $10.10 per hour.

United StatesEmployment and HR

On January 1, 2015, pursuant to Executive Order 13658 (EO), the minimum wage for federal contractors and subcontractors will increase to $10.10 per hour. The EO also applies to tipped workers as well and mandates that they be paid at least $4.90. This amount is scheduled to increase every January 1st, and the rate is tied to the Consumer Price Index. The change in the minimum wage affects all workers who are performing work on covered federal service and construction government contracts as of the effective date. The secretary will publish the amount of the yearly increase no later than 90 days before the increase will take effect.  

The EO applies to:

  1. New contracts with the federal government.

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