Biden to raise minimum wage to $15 an hour for federal contractors

Published Apr 27 2021 at 12:29 PM GMT

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President Biden is set to sign an executive order to raise the minimum wage for federal contractors, the White House has announced.
Biden's order will require that federal contractors be paid a minimum of $15 an hour, an increase from $10.95 an hour, officials said.
30, 2022 for agencies to incorporate this wage into new contract solicitations, according to the White House, as well as a deadline of March 30, 2022, to implement it into new contracts.
The White House also said the executive order will ensure that "tipped employees working on federal contracts will earn the same minimum wage as other employees on federal contracts," eliminating the "tipped minimum wage" for these federal contractors by 2024.
This will affect "hundreds of thousands" of federal contractors, the White House said, although a senior administration official noted to NBC the exact number who will benefit is not "static" because "federal contracts are not static, and it will take time to phase it in into new contracts.