Department of Labor Finalizes Minimum Wage Increase for Federal Contractors

Last week, the U.S. Department of Labor (DOL) issued a notice announcing that effective January 1, 2017, the minimum wage rate for covered workers under federal contractors would increase to $10.20 per hour. This new rate would apply "to workers performing work on or in connection with Federal contracts". The federal contractor minimum wage increase is in response to President Obama’s Executive Order 13658 from February 12, 2014 raising the wage in 2015 and dictating that DOL, at its discretion, raise the rate again "annually thereafter."