Federal govt releases new minimum wage
You're referring to the recent news about the federal minimum wage!
On April 28, 2021, the Biden administration announced a new executive order to increase the federal minimum wage to $15 per hour for federal contractors. This move aims to help low-wage workers and stimulate economic growth.
Here are the key details:
- New minimum wage for federal contractors: The executive order sets a new minimum wage of $15 per hour for federal contractors, effective January 30, 2022. This applies to new contracts and contract renewals.
- Impact on federal workers: The order also increases the minimum wage for federal workers to $15 per hour, effective January 30, 2022.
- No immediate impact on non-federal workers: The new minimum wage does not directly apply to non-federal workers, such as those employed by private companies or state and local governments. However, some states and cities have already implemented higher minimum wages, and this move may encourage others to follow suit.
- Legislative efforts: The Biden administration has also called on Congress to pass a bill to increase the federal minimum wage to $15 per hour for all workers, not just federal contractors. The bill, known as the Raise the Wage Act, has been introduced in the House and Senate but has not yet been passed.
It's worth noting that the federal minimum wage has not been increased since 2009, when it was raised to $7.25 per hour. Many experts argue that a higher minimum wage can help reduce poverty, increase economic mobility, and stimulate economic growth.
What do you think about the new minimum wage announcement? Do you think it's a step in the right direction, or do you have concerns about its impact on the economy?