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Government Contractor Minimum-Wage Increase

Effective January 1, 2018, the minimum wage will increase to $10.35 for federal contractors working on or in connection with contracts covered by Executive Order 13658. As stated by the DOL, Coverage of the Order generally extends to four major categories of contractual agreements:

  1. Procurement contracts for construction covered by the DBA;
  2. Service contracts covered by the SCA;
  3. Concessions contracts, including any concessions contract excluded from the SCA by the Department’s regulations at 29 C.F.R. 4.133(b); and
  4. Contracts in connection with Federal property or lands and related to offering services for Federal employees, their dependents, or the general public.

More information on determining if your organization is a covered federal contractor can be found under the Executive Order 13658 Frequently Asked Questions.

The Wage and Hour Division of the US DOL issued a notice to announce the Federal Contractor Minimum Wage Increase this past September.

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