Comment Period Open: Federal Minimum Wage Increase for Federal Contractors

Jul 2 2014 - Compensation, Minimum Wage - HRWatchdog

On February 12, 2014, President Obama signed an Executive Order which would establish a minimum wage for work performed by parties that contract with the federal government. The Executive Order would raise the hourly minimum wage paid by contractors to workers performing on covered federal contracts to:

  • $10.10 per hour, beginning January 1, 2015; and
  • Beginning January 1, 2016, and annually thereafter, an amount determined by the Secretary of Labor in accordance with the Executive Order.

The Executive Order directed the Department of Labor (DOL) to issue regulations to implement the requirements of the Order. Pursuant to this directive, the Department of Labor recently issued a Notice of Proposed Rulemaking (NPRM) which establishes standards and procedures for implementing and enforcing the Executive Order’s minimum wage protections.

The DOL also prepared a fact sheet, a FAQ and other related information.

Comment Period

Interested parties may submit written comments on the proposed rule at www.regulations.gov. The specific proposed rule can be found here.

  • Comments must be received on or before July 17, 2014.
  • The DOL will review the comments submitted and issue a final rule by October 1, 2014.

Gail Cecchettini Whaley, CalChamber Employment Law Counsel/Content

 

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