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President Joseph Biden has fulfilled a promise to significantly increase the minimum wage for federal contractor workers working “on or in connection with” a covered federal contract. He has issued an executive order raising the minimum wage for these workers from $10.95 an hour to $15 an hour beginning 2022.
When announcing the “Executive Order on Increasing the Minimum Wage for Federal Contractors,” President Biden said the higher wage “will benefit many women and people of color who likely have children and are the breadwinners in their households …. It will help improve the economic security of their families and narrow racial and gender disparities in income.”
AR, Tab 15, Source Selection Decision Document (SSDD) at 3.
The agency evaluators also made narrative findings identified as elements that increased the confidence of success, or elements that decreased the confidence of success in support of the assigned ratings. For example, with regard to the performance management approach factor (the most important of the solicitation’s evaluation criterion), the TET identified three elements that increased confidence in AT&T’s proposal, while finding three elements that decreased confidence in CenturyLink’s proposal. AR, Tab 12, TET Report at 6-7.
On December 29, the agency’s source selection authority (SSA) received and reviewed the evaluation ratings and findings. AR, Tab 15, SSDD at 1-9. The SSA determined that AT&T’s technical advantages, as compared to CenturyLink’s proposal, outweighed CenturyLink’s price advantage, and thereby made AT&T the overall best value to the government.
Thursday, April 29, 2021
President Joseph Biden has fulfilled a promise to significantly increase the minimum wage for federal contractor workers working “on or in connection with” a covered federal contract. He has issued an executive order raising the minimum wage for these workers from $10.95 an hour to $15 an hour beginning 2022.
When announcing the “Executive Order on Increasing the Minimum Wage for Federal Contractors,” President Biden said the higher wage “will benefit many women and people of color who likely have children and are the breadwinners in their households …. It will help improve the economic security of their families and narrow racial and gender disparities in income.”
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On April 27, 2021, President Biden issued an executive order (the “Order”) increasing the minimum wage for Federal Government contractors and subcontractors from $10.95 per hour to $15.00 per hour. The text of the Order is available here. This is the most significant increase in the minimum wage for contractors since the Obama administration issued Executive Order No. 13658 (“EO 13658”) in 2014, which raised the minimum wage from $7.25 to $10.10.
Aside from the increased minimum wage, the Biden Order is nearly identical to EO 13658. As a result, although the new Order directs the Department of Labor (“DOL”) to issue regulations implementing the Order, it appears that 29 C.F.R. part 10 and Federal Acquisition Regulation (“FAR”) subpart 22.19, which were promulgated to implement EO 13658, can also implement the new Order without substantial revision.
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On April 27, 2021, President Biden signed an Executive Order (EO) requiring federal contractors performing service, construction or concession contracts to pay a $15 minimum wage to those employees who are working on such contracts.
As noted in the White House Fact Sheet, this EO will build on Executive Order 13658 (signed in February 2014), under which the government required federal contractors to provide a $10.10 minimum wage starting in in 2015. The EO imposes five substantive provisions with the stated goal of “promoting economy and efficiency” in federal contracting.
First, the EO increases the minimum wage for federal contractors. 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