Up, Up and Away: Here Comes $16.20 after the Yearly Escalation of the Federal Contractor Minimum Wage

Abrahams Wolf-Rodda – When President Biden issued Executive Order 14026 on April 27, 2021, he increased the minimum wage that federal contractors have to pay for their employees on covered contracts to $15.00 an hour effective January 30, 2022. The Executive Order applies to new contracts that were awarded beginning January 30, 2022. Moreover, under EO 14026 each year the Federal Contractor Minimum Wage will increase for annual adjustments for inflation. The increase set to become effective in 2023 has now been unveiled.