DOL’s final rule raises contractor minimum wage to $10.10 per hour — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
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DOL’s final rule raises contractor minimum wage to $10.10 per hour

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in Compensation and Benefits,Human Resources

The U.S. Department of Labor has announced a final rule that raises the minimum wage for workers on federal service and construction contracts to $10.10 per hour. The final rule, which applies to federal contracts beginning on or after Jan. 1, 2015, implements a White House executive order announced in February.

The rule means a pay raise for nearly 200,000 low-wage workers employed by federal contractors.

The new minimum wage requirement applies to all construction contracts governed by the Davis-Bacon Act and contracts for services subject to the terms of the Service Contract Act. That includes contracts to furnish food, lodging, fuel and such services as recreational programs, child care and dry cleaning at federally run offices, parks and military bases.

Announcing the final minimum wage rule, U.S. Secretary of Labor Thomas E. Perez said, “If you serve meals to our troops for a living, then you shouldn’t have to go on food stamps in order to serve a meal to your family at home.”

Find the official final rule, as well as a fact sheet and answers to frequently asked questions at the DOL's website.

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