Employment – Executive Order Sets Minimum Wage for Federal Contractors; Includes People with Disabilities Employed under Section 14(c) of the Fair Labor Standards Act
Last week, the President signed an Executive Order establishing a minimum wage of $10.10 per hour for federal contractors and subcontractors. The Executive Order covers service and construction contracts and subcontracts (products are not covered), effective January 1, 2015. The wage rate will apply to new contracts and replacements for expiring contracts, and will be indexed annually for inflation. As stated by the White House, “Under current law, workers whose productivity is affected because of their disabilities may be paid less than the wage paid to others doing the same job under certain specialized certificate programs. Under this Executive Order, all individuals working under service or concessions contracts with the federal government will be covered by the same $10.10 per hour minimum wage protections.” To read The ARC’s statement, visit our blog.