On Sept. 4, the U.S. Department of Labor’s Wage and Hour Division issued a notice to announce that the minimum wage for federal contractors will increase to $10.60 from the current $10.35 per hour beginning Jan. 1, 2019.

The increase comes as result of the Obama DOL’s final rule implementing Executive Order 13658, Establishing a Minimum Wage for Contractors (Feb. 12, 2014), which raised the hourly minimum wage paid by contractors to workers performing work on covered federal contracts to $10.10 with annual increases thereafter determined by the secretary of labor in accordance with the methodology set forth in the order.