Spillover From Biden’s $15 Contractor Wage Hike? Experts Differ

Economists and attorneys are keeping a close watch on how the Biden administration’s regulation raising the federal contractor minimum wage to $15 an hour later this month could have spillover effects on the labor market as a whole.

The labor shortages affecting sectors across the economy during the pandemic have vastly complicated hiring and put a premium on retaining talent. Major retailers and big box companies that already pay more than $15 per hour are contributing to staffing problems in certain sectors and forcing competitors to “discuss the appropriate wage rate given the hiring pressures,” said Kathleen McLeod Caminiti, ...