Thursday, January 13, 2022
Content courtesy of U.S. Department of Labor
On January 13, the?U.S. Department of Labor’s Wage and Hour Division published Field Assistance Bulletin (FAB) No. 2022-1 clarifying the requirements of Executive Order (EO) 14026 that increases the hourly minimum wage for certain federal contractors to $15 effective January 30, 2022.
The FAB identifies four categories of contracts covered by the EO:
- procurement contracts for construction covered by the Davis-Bacon Act (DBA);
- service contracts covered by the Service Contract Act (SCA);
- concessions contracts; and,
- contracts entered into with the Federal Government in connection with Federal property or lands and related to offering services for Federal employees, their dependents, or the general public.
Learn more here.
It also defines the geographic scope of the EO’s application as including the fifty States or the District of Columbia as well as in Puerto Rico, the Virgin Islands, Outer Continental Shelf lands as defined in the Outer Continental Shelf Lands Act, American Samoa, Guam, the Commonwealth of the Northern Mariana Islands, Wake Island, and Johnston Island.
The FAB further identifies workers covered by the EO as:
- Workers whose wages under the contract are governed by the FLSA, SCA, or DBA
- Workers employed on or in connection with a covered contract
It explains the $15 minimum wage requirement for all contract workers and clarifies changes to minimum wage requirements for contract workers in tipped occupations and workers with disabilities employed on covered contracts under Section 14(c) of the Fair Labor Standards Act.
Learn more here.
Additionally, the FAB provides information on worker notice requirements, subcontractor requirements, recordkeeping requirements and anti-retaliation provisions and remedies.
Minimum Wage Executive Order 14026 becomes effective January 30, 2022.
For more information about the Executive Order 14026 or other WHD enforced laws, visit the Wage and Hour Division, or call toll-free 1-866-4US-WAGE.
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