The U.S. Department of Labor has announced that effective January 1, 2017, the minimum wage to be paid to workers performing work on or in connection with Federal contracts covered by Executive Order 13658 will be increased to $10.20 per hour. The increase means that wage determinations under the Service Contract Act and Davis Bacon Act will now have a “floor” of $10.20 per hour Contractors and subcontractors affected by the minimum wage increase should begin planning now to implement the changes starting January 1, 2017.