January 28th, 2014
President Obama plans to sign an executive order requiring that certain federal contract workers be paid at least $10.10 an hour for work on future contracts. It is expected that the executive order will cover workers who perform services, including janitors and construction workers that currently earn less than $10.10 per hour.
The order, which President Obama will highlight in his annual State of the Union address, is meant to underscore an increased willingness by the President to put increasing pressure on members of Congress who are resisting passage of a bill to increase the Federal minimum wage on a national level. The President is making a significant push for passage of the Harkin-Miller bill, which would raise the Federal minimum wage in stages over time from the current rate of $7.25 to $10.10 per hour for all workers and index it to inflation thereafter. The bill also calls for raising the minimum wage for tipped workers, which marks the first increase in a tipped wage in two decades.
For your reference, below is a link to a fact sheet released by the White House regarding the President’s plan: