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Biden To Sign $15 Minimum Wage For Government Contractors

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a paper with MINIMUM WAGE text on backgrounwith documents and glasses | Biden To Sign $15 Minimum Wage For Government Contractors | Featured

President Biden will sign an executive order Tuesday raising the minimum wage to $15 an hour for all federal contractors by 2022. In addition, the order will remove a lower minimum wage for tipped contractors. 

RELATED: Now that Minimum Wage is Rising, Is America Truly Doing Better?

$15 Minimum Wage

According to The White House, all government agencies will need to incorporate a $15 minimum wage in new contract solicitations starting Jan. 30, 2022. In addition, contractors will need to implement the $15 minimum wage into contracts by March 30. Plus, government agencies will need to implement higher wages in existing contracts during annual renewals. 

The planned increase pushes the federal contractor minimum wage from the current $10.95. Meanwhile, federal workers who receive tips will also require the new minimum. The order will phase out tipped federal worker pay by 2024.  

Minimum Wage Increase Affects Hundreds of Thousands of Federal Contract Workers

Meanwhile, senior administration officials said they estimate that hundreds of thousands of workers who do contract work for the federal government will benefit from the increase.

This includes cleaning staff, maintenance workers, veteran facilities assistants, cafeteria and food workers, and laborers.  Estimates on the number of federal contractors are around 4 million people.

In addition, the officials said they don’t believe the minimum wage adjustment will cost jobs. They cited an analysis by the president’s Council of Economic Advisers, which believes this increases worker productivity. Also, the increase lowers other costs involved in supervising and training workers. 

Latest Progressive Policy

The $15 minimum wage the Biden administration’s latest attempt to advance policies they say will address economic inequality and strengthen the middle class.

When Biden won the election, progressives and worker advocates intensified their push on the government to increase compensation for minimum-wage workers. In fact, Biden proposed raising the federal minimum wage for all workers immediately after assuming his presidency. However, any proposals to adjust the federal minimum wage require an act of Congress.

Realizing the split Senate may not have enough support, Democrats inserted the measure into the reconciliation stimulus bill. Consequently, the Senate parliamentarian ruled out the wage increase doesn’t have a direct bearing on the stimulus bill. 

$15 Minimum Wage For All Workers

Even as Biden will raise federal workers’ minimum pay, Democrats are still working to upgrade the federal rate for all workers. Currently, the federal minimum wage stands at $7.25 an hour.

It has yet to receive an increase for over ten years. The Biden administration can only mandate federal worker wages. Meanwhile, the Labor Department will enforce the standards. For private companies, the federal minimum or the state minimum wage rates still apply.  

Larry Cohen is the chair of Our Revolution, a Bernie Sanders-aligned political group, who advocates for progressive agendas. “While it’s a huge step for the federal government to show an example, we need to actually deliver results.

This would be a big result for federal contractors, but there are many millions more that are obviously not covered, and we shouldn’t give up on them either, and we should use the budget process because otherwise there’s no chance of raising the minimum wage in the Senate,” he said. 

Still Below Living Wages

A full-time salary at $15 an hour totals around $31,200 a year. Progressive advocates find the amount below acceptable living wages in many urban areas of the country. Consequently, as federal wages index themselves to inflation, they will automatically rise along with cost-of-living increases.

Watch the CNBC news video reporting that President Joe Biden to raise the minimum wage to $15 per hour for federal contractors:

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Do you agree to a federal minimum wage? Do you support the move to implement a federal minimum for all government contractors?

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21 Comments

21 Comments

  • Avatar Tom O'Steen says:

    Minimum wage was never meant to be a living wage, its to start off in the working world and move up with the desire to earn more. Jobs will be lost with this new $15 minimum and productivity will go down creating even more lazy workers!

  • Avatar Jimmy R Young says:

    If you live in a state were the living is cheap and you pay x amount of dollars above the average pay you cause a problem in that state. If the wage was the average for that state we can do more with the money than we can with the wage set at NYC average.

  • Avatar Jeffery Holtgrieve says:

    Once again, the left is trying to give people things that they do not deserve. Where I come from, you work for EVERYTHING you own. No handouts to lazy and treasonous punks who want everything for free.

  • Avatar Gage Moreno says:

    Hard work is why your pay is increased. We have got to stop with the constant handouts and go back to hand ups. There are areas this wage will destroy small businesses and increasing the wages of people that don’t desire to do anything more than work at Burger King will only create a whole new era of people only desiring to be Burger King employees. Why work towards something when the govt is constantly just giving it away for fre3

  • Avatar arlie says:

    Do you people not understand that even if the minimum wage was $50 an hour, your still not taking anymore home. Everything on the economy will go up so you wont take any more home.
    I spent 16 years in the army,each time we got a raise the economy went up that much.
    It should be illegal for the economy to do that to soldiers that are willing to risk their lives or limbs for this country!!! It really eurps me to hear someone in congress say they support our troops and then do shit to make damn sure they don’t get ahead.
    Did you know that troops that went to Iraq or Afghanistan that was on separate rations for their family in the states. When they eat while over seas,Halliburton charged our government $37 a meal. So when or troops came back to the states they had to pay back for all the meals they ate over there.

  • Avatar Honest says:

    Biden spends our countrys Money just like it is a Monopoly game ~ He Hasn’t a Clue……. Just keep spending

  • Avatar Mary A Morales says:

    I can tell the color and education of people on this platform!!! $15 an hr is nothing!!!! People( even the ones who work at Buger King) should get paid more for busting their behinds. The Minimum wage now, does not let you pay rent or a mortgage, buy a car and pay all of your utilities. $15 an hr, will allow people to start doing these things altogether. As for small businesses, one less car out of their fleet of cars to pay the proper hourly wage won’t hurt anything.

  • Avatar Diana Nelson says:

    A minimum wage of 15.00 dollars an hour will cause small business to not grow or continue. They would over pay their employees and not be able to pay themselves and overhead. Plus this would increase the workmans comp charges, insurance. Cost are already showing an increase just with the stimulus and people not wanting to work due to the stimulus. Taxes are going to be unbearable. What this Country needs are people back to work. Willing to start at a reasonable rate of minimum wage and strive with willingness to advance. With this increase employers cannot think of giving an employee a raise. Because the employee would probably make more they the one who hired them. America Our economy is about to crash.

  • Avatar June Marie Busold says:

    Let’s get small businesses back on their feet before giving out more money to employees. This is important but people are just grateful for having a job if their company has survived. Biden needs to stop his foolish spending like it is another one of his adding to his list of “LOOK WHAT I DID”. He’s not thinking of the word, SURVIVAL”. NO, this is not on top of his responsibility list and why is this a priority when there are so many other things he isn’t doing????

  • Avatar Cheri says:

    This is ridiculous . Most of these kids don’t do their jobs as it is. That’s what’s wrong with these kids now. They think we should just hand out it all . LACK OF RESPECT AT HOME , IN SCHOOL AND PUBLIC. ITS my generation that needs there ass whipped for not taking care of their kids. Grandparents raising the kids spoiling them bc they feel sorry bc their mom and dad’s aren’t their raiding them . IF YOU WORK HARD AND TAKE PRIDE IN YOUR WORK YOU SHOULD GET RAISES BUT THIS BS OF JUST HANDING OUT MONEY OVER AND OVER IS RIDICULOUS. THERE IS ALOT MORE TO ALL THIS NONSENSE THAN WE UNDERSTAND OR KNOW ABOUT. THEY ARE GETTING PPL USE TO LIVING OFF THE GOVERNMENT , BUSINESS WILL CLOSE AND PRETTY SOON THE PEOLLE WILL HAVE NO CHOICE BUT TO TAKE GOV. MONEY THAT WILL BE REDUCED BC SO MANY WILL BE NEEDING IT .STUPID PPL WAKE THE F UP.

  • Avatar Deedra Ice says:

    min wage should always increase as the cost of living does too-we vote for 15 hrly an greater as needed according to cost of living an regions too!!!!!!!!!!!!

  • Avatar Will Melder says:

    A minimum wage job is just that. Minimum wage. It is not meant to pay your rent (much less a mortgage!). It is a starting job meant to give you incentive to work harder to earn a higher paying job or give you income to get some kind of education or training for a better job. Minimum wage jobs are fill-ins to the basic tasks until you EARN experience. Raising the minimum wage will lead employers to either raise prices on their goods or services or reduce their payroll numbers. Either way, it’s a lose-lose for those at minimum wage right now. The price of the things you buy will increase or you will be out of a job.

  • Avatar Randall Owens says:

    Actually, I think Ronald Reagan had it right. Start with a training wage. Move up contigent upon the skills you gain, retention, innate ability and motivation to succeed.

  • Avatar Kathe Wilson says:

    Raising Min wage will cause more expense of food and products made in the US. Again China and India will get the business as American businesses again flee high wages and high taxes. I don’t understand how any on can not look back at history and how raising minimum wage can be the cause of inflation.

  • Avatar Jenn says:

    A $15 minimum wage is going to accomplish nothing but driving up labor costs, and in turn that increase will be passed along to the consumer. Small businesses will be forced out of business. Companies will hire fewer employees, and the people they do employ will have to do the job of two people. Retail and grocery chains have already begun replacing cashiers with automated check-outs, and that will be widely expanded. While the appearance is meant to be that this administration is trying to put more money into Americans’ pockets, the end result will only be fewer jobs and inflated costs. What I believe is intended to generate tax revenue to help offset Biden’s spending spree will be nothing less than devastating to the American people.

  • Avatar wilsennia rice says:

    $ 15.00 Wages should be for everyone. Retired people on SSI should get a raise too,to keep up with everything

  • Avatar Charles Ramseur says:

    You can tell who is rich and who lives below poverty level by the answers.? Wouldn’t want to pay my workers a living wage. How will I afford my mansion and my Lamborghini? Give me a break, bunch of tightwads.

  • Avatar LF says:

    why is it those in the senate and house give themselves raises all the time… have the best healthcare and benefits for life?? while the rest of us get shit on and pay higher taxes … ENOUGH of this. we dont need higher minimum wages we need LOWER TAXES and LESS SPENDING ON PORK promised by the left.

  • Avatar J.B. says:

    This is just another symptom of the self-righteousness of our country. I’ve read all the responses posted here. Most with pin-point accuracy, others still not seeing “the light”.. This country will never be what it once was because we’ve turned away from “the one” who truly gives the blessings. It’s hard to think about the society my children are having to grow up in, in these times. I wish they could enjoy the years I had growing up. My only hope, is that I raise them in truth so they can make the right choices in life. Not viewing this world in black and white, but as right & wrong. Lord help us to seek you first, so that you can bless us as a nation, under God, indivisible, with liberty and justice for all.. 🙏🏻

  • Avatar JAMES SHAVER says:

    lets deal with one thing at a time // virus first and vaccines and getting this under control // P.S. some one told me that some of these vaccines the government is handing out is to change your DNA so our future genteration wont know what thay are // native american / jewish / or what ever it may be heard this from a doctor asst. this needs cleared up let the people really know whats going on tell us the truth / WE THE PEOPLE WANT TO KNOW // THIS COULD TURN UGLY IF THIS IS TRUE // OUR FREEDOM IS GONE / OUR FREEDOM OF SPEECH IS GONE YOU CAN TELL THE JAILS ARE OVER FILLED INMATES SLEEPING ON THE FLOOR IN A ONE MAN CELL // PEOPLE BEEN TAKEN ADVANTAGE OF BY POLICE NOT ALL OF THEM BUT SOME COPS THIS HAPPENS ALOT AROUND ELECTIONTIME FOR COUNTIES ALL ACROSS THE U.S.A. THIS NEEDS TO STOP AND CASES 10 YEARS OLD NEED REVIEWED AGAIN PARDONS THAT ARENT ASNWERED THAT PEOPLE HASNT HEARD ABOUT IN 5 10 YEARS AFTER FILING NEEDS TO BE FULFILLED NOW PEOPLE WANT ANSWERS THE GOVERNMENT IS SCREWING US IN ALL AREAS WHAT ABOUT THAT MONEY WERE GETTING WE WILL PAY FOR THAT JUST WAIT AND SEE A GOOD THING ALWAYS TURNS BAD // SOME PEOPLE ON HERE THAT POST THINGS THAT ARE TRUE THE OTHERS BETTER TAKE THE WARNING // DONT HAVE EMAIL USING FRIENDS

  • Avatar Bonnie says:

    I think the minimum wage does need to be adjusted, but for ALL and not just a select few and not to $15/hr. Where I live, $15 is a good pay rate. But in bigger cities the cost of living may be higher depending on the geographical area and not be enough. I am in a low paying management position making about $12 more than the current minimum wage. I have years of experience, a Bachelors degree, and hold a specialized certification for my job. Do you think my employer is going to adjust my salary to $12 above a new $15/hr? Why should my pay value go down? I started working when minimum wage was way less than it is today and it motivated me to work harder, and get an education to move up. What’s motivating people to get earn anything now days?

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