FEDCON Supports Increased Minimum Wage on Federal Contracts

Federal Endowment Directing Consultants says new Department of Labor guidelines will protect workers and ensure fair competition

Published on Feb. 13, 2026

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Federal Endowment Directing Consultants (FEDCON), an organization behind FederalGovernment.info, has officially declared its support for the Department of Labor's new minimum wage guidelines for federal contractors. FEDCON says the wage floors are needed to keep a quality workforce and ensure that public sector workers are paid fairly, though it warns that actual implementation and compliance remain weak in many industries.

Why it matters

The new minimum wage requirements aim to address concerns about underpayment of federal contract workers and uneven competition, where some contractors undercut bids by skipping wage rules. FEDCON believes stronger enforcement and auditing by the Department of Labor is needed to close compliance gaps and make the playing field fair for all businesses.

The details

FEDCON, a contract consulting firm, says the Department of Labor's inflation-based adjustments to the federal contractor minimum wage are a necessary protection against loss of buying power for thousands of employees. The organization views the specific federal contractor wage as a standard for quality and steady government work. However, FEDCON warns that actual implementation of the wage requirements remains very weak, with workers often staying underpaid due to oversight issues, confusing overlaps, and lack of strong enforcement by contracting officers.

  • The Department of Labor recently announced the phase of inflation-based adjustments for federal contracts.

The players

Federal Endowment Directing Consultants (FEDCON)

An organization behind FederalGovernment.info that provides contract consulting services and supports the Department of Labor's new minimum wage guidelines for federal contractors.

Department of Labor

The federal agency that announced new minimum wage requirements for workers on federal contracts.

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What they’re saying

“I see that the Department of Labor recently announced the phase of inflation based adjustments, for contracts. FEDCON calls these measures a protection against the loss of buying power for thousands of employees.”

— Analyst (EINPresswire.com)

“FEDCON also says the gap makes the playing field uneven. The organization notes that firms that follow the law lose out to contractors who skip wage rules to lower their bids.”

— Analyst (EINPresswire.com)

What’s next

FEDCON says the Department of Labor must do more than just announce new wage rates, and must close the compliance loop through audits and clear reporting to ensure all covered workers receive the promised pay.

The takeaway

This case highlights the ongoing challenges of ensuring fair wages and competition in the federal contracting market, even as the Department of Labor takes steps to address underpayment of workers. Stronger enforcement and oversight will be crucial to making the new minimum wage guidelines effective in practice.