Compliance Stuff

NOTICE: On March 14, 2025, President Trump issued Executive Order 14236, “Additional Rescissions of Harmful Executive Orders and Actions,” ( 90 FR 13037 ), which revoked, among other items, Executive Order 14026 of April 27, 2021, “Increasing the Minimum Wage for Federal Contractors” ( 86 FR 22835 ). Pursuant to section 2(d) of Executive Order 14236, the Department of Labor is no longer enforcing Executive Order 14026 or the implementing rule (29 CFR part 23) and will take steps, including rescinding 29 CFR part 23, to implement and effectuate the revocation of Executive Order 14026. On February 9, 2026, the Department of Labor published a notice in the Federal Register announcing that, beginning May 11, 2026, the Executive Order 13658 minimum wage rate will increase to $13.65 per hour for non-tipped employees performing work on or in connection with covered contracts, and to $9.55 per hour for tipped employees performing such work ( 91 FR 5783 ). The Executive Order 13658 minimum...

Takeaways Effective 05.11.26, the applicable minimum wage for employees working on covered federal contracts is $13.65 per hour.  The minimum wage increase applies only to federal government contracts entered into between 01.01.15 and 01.29.22. Uncertainty remains whether there is a federal contractor minimum wage for contracts entered into after 01.30.22. Related links 91 Fed. Reg. 5783, Minimum Wage for Federal Contracts Covered by Executive Order 13658 EO 13658, Establishing a Minimum Wage for Contractors EO 14026, Increasing the Minimum Wage for Federal Contractors   EO 14236, Additional Rescissions of Harmful Executive Orders and Actions Trump Revokes Biden Federal Contractor Minimum Wage Mandate: What to Expect Next Article The Department of Labor (DOL) has  announced  that a $13.65 hourly minimum wage will apply to workers on certain federal government contracts effective May 11, 2026 . This is an increase over the current $13.30 per hour rate. For tipped work...

  President Trump just rescinded an executive order that mandated a higher minimum wage for workers on federal contracts. The Biden-era order initially set the wage to $15 an hour in 2022, and it was ultimately raised to $17.75 earlier this year. Trump’s move was part of a March 14 order rescinding 18 actions from the prior administration – in addition to the 78 nixed on his first day in office. What does this mean for federal contractors and what should you do now? Although Biden’s minimum wage order is no longer in effect, federal contractors still have wage obligations under federal, state, and local laws. Here’s an overview of how we got here and what you should consider doing now. Key Points for Federal Contractors Biden’s Order Raised Contractor Wage:  Under President Biden’s Executive Order 14026, the applicable minimum wage rate for workers performing work on or in connection with certain covered federal contracts was raised to $15 in 2022. The order provided a boost ...

  Now that President Donald Trump has returned to the oval office, federal contractors should be on the lookout for big changes that are likely to continue in the coming days and months. The president has already curtailed affirmative action and diversity, equity, and inclusion programs – and a controversial Biden-era order that raised the minimum wage for workers on covered federal contracts could be next . You should note that the minimum wage mandate is still effective as of now for most federal contractors, even though it has faced challenges in several courts and the U.S. Supreme Court recently declined to weigh in on the issue. Here’s what you need to know about the executive order and what you might expect from the new administration. How Did We Get Here? Contractor Minimum Wage Order : Under President Biden’s Executive Order 14026, the applicable minimum wage rate for workers performing work on or in connection with covered federal contracts was raised to $15 in 2022 . The...

Federal contractors may need to be prepared to increase pay for employees working on, or in connection with, covered federal government contracts. The hourly minimum wage for employees performing work on federal contracts will rise from $17.20 to $17.75 on Jan. 1, 2025, the Department of Labor (DOL) has  announced . The new minimum wage rate will apply in full to tipped and non-tipped employees alike, as well as to workers with disabilities. Contracts entered into, renewed, or extended prior to Jan. 30, 2022, generally remain subject to the minimum wage rate under Executive Order 13658. The operative minimum wage for those contracts will increase from $12.90 to $13.30 per hour. There are a number of pending lawsuits challenging the Biden Administration’s authority to impose the minimum wage increase for federal contractors. It is unlikely these cases will be resolved prior to Jan. 1. Employers should not count on a reprieve before the mandated wage hike takes effect. 500,000 Emplo...

 The Wage and Hour Division (WHD) of the U.S. Department of Labor (the Department) is issuing this notice to announce the applicable minimum wage rate for workers performing work on or in connection with Federal contracts covered by Executive Order 13658 , Establishing a Minimum Wage for Contractors (the Executive Order or the order), beginning January 1, 2025. Beginning on that date, the Executive Order 13658 minimum wage rate that generally must be paid to workers performing work on or in connection with covered contracts will increase to $13.30 per hour , while the required minimum cash wage that generally must be paid to tipped employees performing work on or in connection with covered contracts will increase to $9.30 per hour. Covered contracts that are entered into on or after January 30, 2022, or that are renewed or extended (pursuant to an option or otherwise) on or after January 30, 2022, are generally subject to a higher ...