EMPLOYMENT LAW NEWS
Federal Contractor Minimum Wage Set to Increase May 11, 2026
By Dana Holle, GovDocs Counsel and Manager
Employment Law and Compliance
Published February 17, 2026
Effective May 11, 2026, the DOL will raise the minimum wage to $13.75 per hour ($9.55 for tipped employees) for certain federal contracts under Executive Order 13658.
DOL Announces New Federal Contractor Minimum Wage Rates under Executive Order 13658
In a long-awaited announcement, the U.S. Department of Labor finally published notice that the minimum wage for workers performing on federal contracts covered by Executive Order 13658 will increase to $13.75 per hour, with a $9.55 per hour wage for tipped employees, effective May 11, 2026.
Importantly, the U.S. Department of Labor expressly states in the notice that the wage rates announced apply only to certain types of federal contracts entered into between Jan. 1, 2015, and Jan. 29, 2022. Since the repeal of Executive Order 14026 by President Trump in 2025, the U.S. Department of Labor has not released an updated federal contractor minimum wage for contracts entered into, renewed, or extended on or after Jan. 30, 2022.
In the mean time, federal contractors should continue to closely monitor agency guidance and enforcement developments as well as review their pay practices to ensure compliance with applicable contractual obligations.
For additional background on the status of the federal contractor minimum wage, check out our recent blog poster, Compliance Conundrum: Staying Up to Date on Federal Contractor Minimum Wage, addressing the federal contractor minimum wage developments in 2025.
Federal Contractor Posting Requirements
Federal contractors are also subject to specific posting requirements, including mandatory minimum wage postings. At this time, an updated federal contractor minimum wage poster reflecting the May, 11, 2026, increase has not yet been released by the U.S. Department of Labor.
GovDocs will continue to monitor for updates to its Federal Contractor Update Program.
Keep Informed
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This Employment Law News blog is intended for market awareness only, it is not to be used for legal advice or counsel.
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