Chicago – Attorney General Kwame Raoul led a coalition of 22 attorneys general in filing an amicus brief supporting the federal government’s actions to increase the minimum wage for employees of certain federal contractors. In April 2021, President Biden issued an executive order increasing the minimum wage for these workers to $15 and directing the U.S. Department of Labor to implement subsequent annual raises to reflect changes in the cost of living.
Raoul and the coalition submitted the amicus brief in Nebraska v. Su, a case challenging the increase in minimum wage for federal contract workers.
“Employees of federal contractors have a right to fair wages that allow them to provide for themselves and their families,” Raoul said. “We all benefit when workers in our states earn decent living wages, and I will continue to advocate for the rights of all workers to receive fair compensation for the work they do – particularly when they are working on behalf of the public.”
At issue in the lawsuit are the April 2021 executive order and a November 2021 rule increasing the minimum wage for employees of certain federal contractors, which had been set at $10.10 per hour since 2014. A group of states led by Nebraska filed a lawsuit challenging the increase. The district court dismissed the lawsuit upon concluding that the executive order and the Department of Labor’s rule were lawful exercises of executive authority. The states appealed that decision to the U.S. Court of Appeals for the Ninth Circuit where a panel of judges ruled in their favor. In their brief, Raoul and the attorneys general ask the full court to rehear the case.
Raoul and the coalition argue that the minimum wage requirement generates important benefits for workers and the economy. This is evidenced by numerous economic studies, as well as state and local experiences, in raising the minimum wage for contractors. The coalition points to the ways an increased minimum wage benefits employers, employees and consumers, citing studies and reports that demonstrate an increased minimum wage leads to improved morale and productivity, reduced turnover and absenteeism, as well as improved income equality and decreased poverty for federal contractual workers. Those benefits lead to improved service and enhanced consumer experiences.
The amicus brief is the latest action Raoul has led other state attorneys general in taking to protect the rights of workers. In 2020, Raoul filed two lawsuits challenging Department of Labor rules that impermissibly altered protections for tipped workers and eliminated key protections for workers under the Fair Labor Standards Act. Raoul has twice successfully led multistate coalitions supporting the rights of transportation workers before the U.S. Supreme Court, each time yielding unanimous victories for the workers. Attorney General Raoul has also filed amicus briefs in support of Illinois workers’ rights under the Illinois Wage Payment and Collection Act and the Illinois Minimum Wage Law in state and federal courts.
Attorney General Raoul encourages workers who have concerns about wage and hour violations or potentially unsafe working conditions to call his Workplace Rights Hotline at 1-844-740-5076 or file an online complaint.
Joining Raoul in filing the brief are the attorneys general from California, Colorado, Connecticut, Delaware, the District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont and Washington.
