SLF LABOR AND EMPLOYMENT ALERT January 2007

IS A RAISE IN THE MINIMUM WAGE IN SIGHT?

As the Democrat-controlled 110th Congress convenes this month, a top priority is boosting the federal minimum wage. The current proposal would raise the minimum wage to $7.25 an hour. The increase is likely to be phased in, perhaps over 26 months. The new minimum wage has not yet become law, and is still subject to possible negotiation. In Florida, the new minimum wage provided by State law was increased to $6.67 per hour. If the new Federal minimum wage is higher than the wage mandated by State law, employers will be required to pay the higher Federal rate.

Past Issues of SLF Labor and Employment Alert Posted on Website

You may now view past issues of the SLF Labor and Employment Alert on our website: www.sniffenlaw.com. After entering our website, click on the “Publications” page.

OFCCP Reports FY 2006 Recovery Amounts

The U.S. Department of Labor's Office of Federal Contract Compliance Programs (OFCCP) has reported that for fiscal year 2006, it recovered $51.5 million in financial recoveries from government contractors, the most ever. The total represented a 14 percent increase over recoveries made in 2005. The OFCCP also reported that it conducted 3,975 compliance evaluations, up 45 percent from the previous period. The increase in compliance evaluations could mean even higher recoveries in 2007 and beyond, since it takes approximately one year for each case to resolve.

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