President Obama To Raise Minimum Wage for Federal Workers

News & Views | Gerren Keith Gaynor | 01/28/2014 | 10:15 AM EST

POTUS is expected to announce new increase during State of the Union speech

President Barack Obama will announce during his State of the Union speech that he’s raising the the minimum wage for workers under federal contracts to $10.10 per hour, according to reports.

Instituted by executive order, the new policy is said to be the president’s way of flexing his political muscle in pressuring Congress to raise the national minimum wage, which sits at $7.25 per hour, which its been since 2009 under the George W. Bush administration.

It is believed that Obama’s executive order is a part of a broader vow he made in pursuing policies that don’t rely on congressional approval, in light of the Republican and Democratic parties’ inability to work together in passing certain laws.  

According to an Obama administration fact sheet, the executive order will cover “workers who are performing services or constructing buildings and are getting paid less than $10.10 an hour.” Those likely to see raises in future paychecks include dishwashers, food servers and construction workers, and the policy will go in effect only for “new contracts after the effective date of the order.”

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