Minimum wage Verified

Federal contractor minimum wage (EO 13658) rises to $14.05

Jurisdiction
Federal (US)
Effective date
2027-01-06
Who it covers
Covered federal contractors
Status
Verified against an official source

The law, summarized

  • Beginning January 6, 2027, the Executive Order 13658 minimum wage for work on or in connection with covered federal contracts rises to $14.05 per hour.
  • The required cash wage for tipped employees is $9.85 per hour, as long as tips bring total pay to at least $14.05.
  • It applies to certain contracts entered into between January 1, 2015 and January 29, 2022 that were not renewed or extended on or after January 30, 2022.
StateHR Take · AI-generated analysis, not legal advice

Who should act: Federal contractors with older contracts covered by EO 13658. Identify which contracts and workers fall under this order, update pay rates by 2027-01-06, and post the updated notice. Confirm the details in the official source before acting.

Generated 2026-10-17T11:30-05:00

Official sources

  • www.federalregister.gov
    https://www.federalregister.gov/documents/2026/10/08/2026-20646/minimum-wage-for-federal-contracts-covered-by-executive-order-13658-notice-of-rate-change-in-effect