President Barack Obama has signed an executive order raising the minimum wage federal contractors must pay to $10.10 an hour.
The White House released a fact sheet ahead of the January 28 State of the Union speech saying Obama would use his executive authority to raise the minimum wage for those working on new federal contracts. The current federal minimum wage, in force since 2009, is $7.25 an hour.
The increase will cover employees such as janitors and construction workers as well as dishwashers and laundry workers on military bases. It will apply to contracts made after the effective date of the order, January 1, 2015.