Labor raises minimum wage for feds, contractors

Thursday - 6/12/2014, 4:50pm EDT

Associated Press

WASHINGTON (AP) -- Many federal workers and contractors who earn the minimum wage are getting a raise next year.

Labor Secretary Thomas E. Perez has issued a rule to raise the minimum wage from $7.25 an hour to $10.10. The higher level applies to new federal construction and service contracts beginning Jan. 1.

President Barack Obama had announced the raise earlier this year, but Perez moved to put it into effect.

In a conference call with reporters on Thursday, Perez said no person who works a fulltime job should have to live in poverty.

Perez is calling on Congress to raise the minimum raise for all workers. The Senate passed such a bill earlier this year but it stalled in the GOP-led House.

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