Federal Contractor Minimum Wage to Increase to $15

The U.S. Department of Labor (USDOL) announced a Proposed Rule to Increase Federal Contractor Minimum Wage for certain federal contactors as directed by Executive Order 14026. The hourly increase would be to $15 (and to $10.50 for tipped workers). The increase would take effect January 30, 2022. It would also:

  • Index the federal contract minimum wage in future years to an inflation measure.
  • Eliminate the tipped minimum wage for federal contract workers by 2024.

Public comment will be accepted on the proposed rule through August 23, 2021.