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DOL Releases Proposed Rule Increasing Minimum Wage for Federal Contractors
On June 17, 2014, the Department of Labor released a proposed rule implementing Executive Order 13658, which increases the hourly minimum wage for federal contractors, subcontractors and their workers to $10.10 per hour, beginning January 1, 2015, and beginning January 1, 2016, and annually thereafter, to an amount determined by the Secretary of Labor. This applies to new contracts, contract-like instruments, and solicitations including (1) procurement contracts for services or construction; (2) contracts for services covered under the Service Contract Act; (3) concessions contracts; (4) contracts entered into with the Federal Government in connection with Federal property or lands and related to offering services for Federal employees, their dependents, or the general public; and (5) the wages of workers governed by the Fair Labor Standards Act, Service Contract Act or Davis Bacon Act.
Comments are due by July 28, 2014.