Summarized from Jade West, National Association of Wholesaler-Distributors
President Joe Biden signed an executive order requiring federal contractors performing service, construction or concession contracts to pay a $15 hourly minimum wage to those employees who are working on those contracts.
Beginning Jan. 30, 2022, all federal agencies will need to ensure that the $15-per-hour minimum wage is included in any new covered contract solicitations, and by March 30, 2022, all agencies will need to implement the minimum wage in new covered contracts. Additionally, contracting officers must implement the higher wage in existing covered contracts when exercising options and extensions.
To read the White House fact sheet, click here.
To read an in-depth report on the EO provided by McGuireWoods law firm, click here.