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Tuesday, December 24, 2024

Attorneys general back federal contractor minimum wage increase

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Attorney General Rob Bonta | Official website

Attorney General Rob Bonta | Official website

California Attorney General Rob Bonta, along with 21 other attorneys general, has filed an amicus brief in the Ninth Circuit Court of Appeals. The brief supports the U.S. Department of Labor's request for a rehearing en banc concerning a federal rule that raised the minimum wage for federal contractors to $15 per hour in 2022. This rate is set to increase annually, reaching $17.20 per hour as of January 1, 2024, and $17.75 per hour by January 1, 2025.

Attorney General Bonta emphasized the economic benefits of fair wages: "In California, we understand that fair wages and robust worker protections are good for business – it’s why we have the fifth largest economy in the world." He expressed strong support for the Department of Labor's rulemaking, stating that it helps lift workers out of poverty while boosting productivity and efficiency.

The amicus brief argues in favor of the Department of Labor's authority to set minimum wages for federal contractors. It cites studies indicating that increased wages lead to greater productivity, reduced employee turnover, and enhanced service quality due to improved morale and performance. The brief also highlights how higher wages can help reduce poverty among historically underpaid or disadvantaged workers.

Attorney General Bonta has been active in protecting workers' rights and fighting unfair labor practices. In 2024 alone, he filed charges against US Framing for wage theft and tax evasion, defended wage claims in the West Coast Drywall lawsuit, and secured a settlement with Amalfi Stone & Masonry Company over allegations of unfair competition and labor violations. In 2023, he launched investigations into gender discrimination in the National Football League and supported measures against non-compete agreements.

The coalition filing this brief includes attorneys general from Illinois, Colorado, Connecticut, Delaware, Washington D.C., Hawaii, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont and Washington.

A copy of the brief is available here.

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