Which federal law governs the minimum wage for federal contractors?

Which federal law governs the minimum wage for federal contractors?

• A. Fair Labor Standards Act
• B. McNamara-O'Hara Service Contract Act
• C. Executive Order 13658
• D. National Labor Relations Act

Answer: (C)

The law that governs the minimum wage for federal contractors is indeed the Executive Order 13658. This executive order was enacted to ensure that workers on federal contracts receive a minimum wage that is higher than the federal minimum wage. Specifically, it set a minimum wage for employees working on new federal contracts, and it is adjusted annually based on inflation. Understanding the significance of Executive Order 13658 is crucial because it specifically targets the wage standards for federal contractors, emphasizing the government's role in establishing fair pay for workers in federally funded projects. This order helps to elevate the compensation standards for those employed on government contracts, affecting a significant number of laborers in the country. Other laws mentioned, such as the Fair Labor Standards Act, primarily set the foundation for wage and hour laws across the board in the private sector. The McNamara-O'Hara Service Contract Act does apply to service contracts but focuses more broadly on labor standards, including prevailing wage requirements, rather than directly governing minimum wage for all federal contractors. The National Labor Relations Act centers on collective bargaining and union rights, rather than establishing minimum wage criteria. Thus, the specificity of Executive Order 13658 in relation to minimum wage for federal contractors is what makes it the correct choice.

The law that governs the minimum wage for federal contractors is indeed the Executive Order 13658. This executive order was enacted to ensure that workers on federal contracts receive a minimum wage that is higher than the federal minimum wage. Specifically, it set a minimum wage for employees working on new federal contracts, and it is adjusted annually based on inflation.

Understanding the significance of Executive Order 13658 is crucial because it specifically targets the wage standards for federal contractors, emphasizing the government's role in establishing fair pay for workers in federally funded projects. This order helps to elevate the compensation standards for those employed on government contracts, affecting a significant number of laborers in the country.

Other laws mentioned, such as the Fair Labor Standards Act, primarily set the foundation for wage and hour laws across the board in the private sector. The McNamara-O'Hara Service Contract Act does apply to service contracts but focuses more broadly on labor standards, including prevailing wage requirements, rather than directly governing minimum wage for all federal contractors. The National Labor Relations Act centers on collective bargaining and union rights, rather than establishing minimum wage criteria.

Thus, the specificity of Executive Order 13658 in relation to minimum wage for federal contractors is what makes it the correct choice.