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Republican Attorneys General Sue to Halt Minimum Wage Increase for Federal Contractors

  • Texas AG Ken Paxton, Louisiana AG Jeff Landry, and Mississippi AG Lynn Fitch sued the Biden administration seeking to strike down an executive order and related Department of Labor final rule (the “Wage Mandate”) raising the minimum wage for all federal contractors to $15 per hour and mandating overtime wages for employees working more than 40 hours per week.
  • The complaint alleges that the Wage Mandate exceeds executive authority and is arbitrary and capricious in violation of the Administrative Procedures Act. The AGs further argue that the Wage Mandate will have a direct negative impact on their respective states because state government entities, like universities, are federal contractors that will be subject to the Wage Mandate.
  • The complaint seeks declaratory and injunctive relief and attorneys’ costs and fees, among other things.