The U.S. Department of Labor issued a final rule that raises the minimum wage for workers on federal service and construction contracts. The minimum wage has been raised to $10.10 per hour beginning January 1, 2015 for new federal contracts.
Federal contractors must include the minimum wage guarantee in all subcontractor agreements. If a subcontractor does not pay the new minimum wage, the direct contractor could be found responsible for back wages to workers.
Federal contractors must inform their employees about the new minimum wage requirement, and may use the new poster provided in the rule.
All employers who provide work on federal service and construction contracts should confirm paying wages at $10.10 per hour or higher and must make sure any subcontracting work complies to the wage payment requirement.
