Obama plans to raise minimum wage for new federal contract employees via Exec order

Oldgamer

Diamond Member
Jan 15, 2013
3,280
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So he is doing this for Federal employees, and I wonder how long it will be when he does it for all people not just those who are employed by the Government?

He is not doing this for federal employees. He plans to do it for federal contract employees.
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NYTimes Article

WASHINGTON — President Obama plans to sign an executive order requiring that janitors, construction workers and others working for federal contractors be paid at least $10.10 an hour, using his own power to enact a more limited version of a policy that he has yet to push through Congress.

The order, which Mr. Obama will highlight in his annual State of the Union address on Tuesday night, is meant to underscore an increasing willingness by the president to bypass Congress if lawmakers continue to resist his agenda, aides said. After a year in which most of his legislative priorities went nowhere, Mr. Obama is seeking ways to make progress without cooperation on Capitol Hill.

The minimum wage provides an example of what he has in mind. Mr. Obama called on Congress during last year’s State of the Union address to raise the minimum wage for workers across the board, only to watch the idea languish on Capitol Hill, where opponents argued it would hurt business and stifle job creation. With prospects for congressional action still slim, Mr. Obama is using the executive order covering federal contractors to go as far as he can go on his own.

“You can be sure that the president fully intends to use his executive authority to use the unique powers of the office to make progress on economic opportunity, to make progress in the areas that he believes are so important to further economic growth and further job creation,” Jay Carney, the White House press secretary, told reporters on Monday.

But the minimum wage order will also illustrate the limits of that approach. If Congress increased the federal minimum wage to $10.10 from $7.25 as Mr. Obama has sought, 21 million employees would eventually get a raise unless their jobs were eliminated, according to estimates by a liberal research organization. Mr. Obama’s order at most is likely to affect several hundred thousand workers.

Even so, Mr. Obama’s vow to use his executive authority more robustly has drawn criticism from Republicans who say he has already stretched, and in some cases, exceeded the bounds of his power, much as he once accused President George W. Bush of doing.

Among other things, Mr. Obama unilaterally deferred deportation of many younger illegal immigrants after Congress declined to pass legislation giving them legal status. He has delayed enforcement of several aspects of his hotly disputed health care law. He declined to defend in court the Defense of Marriage Act, a law barring federal recognition of same-sex marriages.

As he looks ahead to three more years in office, and with Republicans likely to still hold one if not both houses of Congress, Mr. Obama has sought other ways of acting alone. Perhaps the most far-reaching area will be the environment, where the Environmental Protection Agency is working on regulations to limit carbon emissions of the nation’s power plants.

Republicans dismissed the notion that Mr. Obama should give up on Congress and rely on his own power more. “Ronald Reagan didn’t think that, and Bill Clinton didn’t think that,” Senator Mitch McConnell of Kentucky, the Republican leader, said on “Fox News Sunday” over the weekend. “Frequently, times of divided government are quite good times in terms of achieving things for the American people.”

Mr. Obama’s speech on Tuesday night will be his fifth formal State of the Union address — his speech to Congress in early 2009 did not technically qualify — and in some ways will be the most challenging. The president, who is reeling in the polls after a year of setbacks, wants to use the moment to re-establish his command of Washington before this fall’s midterm elections and, after that, the presidential primaries consume public attention.

The speech, which has been drafted over the last few weeks, will promote an overhaul of the immigration system and address the president’s concern about the growing income gap between the rich and poor. As part of that, he will renew his call for Congress to pass a minimum-wage increase.

As a prod to lawmakers, Mr. Obama plans to announce his plan to sign the executive order directing federal contractors to pay higher wages. The new rule will apply only to new federal contracts or in cases where contracts are renegotiated with new conditions.

The president and his supporters argue that the minimum wage has not kept up with the cost of living, and they maintain that an increase is a way-overdue means of reducing disparities. Critics said that the economy is still too fragile to add to the burdens of business owners whose costs would go up along with the minimum wage and therefore may end up cutting the number of jobs.
 
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Jimzz

Diamond Member
Oct 23, 2012
4,399
190
106
I don't think he can do a EO for min wage for all. In fact this is only for federal contractors, not federal employees.
 

rudeguy

Lifer
Dec 27, 2001
47,371
14
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This is only for federal contractors. Your thread title is a lie and your statement is false. He did not raise the pay for federal employees.
 

rudeguy

Lifer
Dec 27, 2001
47,371
14
61
I don't think he can do a EO for min wage for all. In fact this is only for federal contractors, not federal employees.

LOL

Hey at least 2 people actually read the article. Too bad the OP didn't before he posted.
 

Retro Rob

Diamond Member
Apr 22, 2012
8,150
108
106
This is only for federal contractors. Your thread title is a lie and your statement is false. He did not raise the pay for federal employees.

Thread title isn't necessarily a lie, just deliberately misleading.
 

IBMer

Golden Member
Jul 7, 2000
1,137
0
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michael1980 would think that Obama choosing to eat dinner with his kids without congressional approval is him being a dictator....
 

PokerGuy

Lifer
Jul 2, 2005
13,650
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The dear leader once again tries to rule by decree. What an idiot. Good thing his ratings continue to tank so the damage he can inflict on the nation diminishes slightly.
 

rudeguy

Lifer
Dec 27, 2001
47,371
14
61
this thread is full of lulz

You guys do realize that probably 0% of the people included are actually going to get a raise, right?

You did read the article? Right?
 

glenn1

Lifer
Sep 6, 2000
25,383
1,013
126
I don't think he can do a EO for min wage for all. In fact this is only for federal contractors, not federal employees.

Yep, good policy to unilaterally raise the costs for the government on its contracting work in order to gain no extra value for taxpayers whatsoever. For Republicans it's $400 hammers, and for Democrats it's demanding that contractors pass along the costs of premium wages.
 

Anarchist420

Diamond Member
Feb 13, 2010
8,645
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www.facebook.com
big fucking deal as to whether they're federal contractors or federal employees... they're both legislated and centrally enforced trusts at the expense of the productive. public works projects have always been corporate welfare, as have standing armies. and corporatization doesnt save anything good in the long run, it just makes the inevitable collapse take longer to come and more painful.

in other words, i dont get why the State cant be abolished and replaced with a loose confederation (at most) so there wont be all those anti-market contractors that get too big for the market to become free by gouging the productive.
 

Genx87

Lifer
Apr 8, 2002
41,095
513
126
Is this really a big deal? Dont most contract workers make far more than min wage anyways?
 

Hayabusa Rider

Admin Emeritus & Elite Member
Jan 26, 2000
50,879
4,265
126
Is this really a big deal? Dont most contract workers make far more than min wage anyways?

It is a big deal. He's low on popularity and his party isn't liking fallout. He must be perceived as doing anything which could be sold as populist.
 

rudeguy

Lifer
Dec 27, 2001
47,371
14
61

Oldgamer

Diamond Member
Jan 15, 2013
3,280
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Well, sorry, I thought contractor or otherwise are still considered employees.. sheesh you guys really do get too intense on this board..lol Maybe go take a few deep breaths and do something else before allowing your blood pressure to go through the roof over a mistype or miscommunication on an internet board??
 

fskimospy

Elite Member
Mar 10, 2006
84,055
48,055
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Here is the fun part: 2 years ago Obama was on his soap box saying federal contractors made too much:

http://www.washingtonpost.com/blogs...ontractor-pay/2012/01/30/gIQACE5XdQ_blog.html

-Lesley Field, the acting White House official for government contracting


Sooo.....

I'm going to take a wild stab and say that Obama wasn't referring to employees whose pay remained at or around the federal minimum wage when he talked about contractors getting raises at rates faster than other federal employees. If they had been getting such raises, kicking the minimum wage up to $10 wouldn't affect them.