More Money for the Lowest Paid
→ MILLIONS OF MINIMUM WAGE WORKERS and federal contractors are due for a raise, thanks to new laws and regulations that take effect in 2022. According to an executive order signed by President Biden in April, federal contractors will earn a minimum wage of $15 an hour in all new agreements with government agencies beginning January 30, up from a mandated $10.95 currently. The increase is expected to help some 327,000 workers, according to the Labor Department, but only applies to new contracts; workers on existing federal contracts won’t see the benefit until the current one expires. Meanwhile, though the federal minimum wage for all other workers remains unchanged at $7.25 an hour—last increase: 2009—residents in nearly half of the states and 21 municipalities will see a bump in their base pay January 1 thanks to local legislation.