Although Congress has tabled a discussion on raising the minimum wage to $15 an hour, President Joe Biden had already issued an Executive Order that would raise the minimum wage for federal contractors to $15 — and fearing that increased costs could sink their business, Colorado rafting companies have filed suit to overturn part of that order.
Issued on April 27, Biden's order stipulates that starting January 30, 2022, federal contractors must pay at least $15 per hour to all workers; a lower wage for tipped employees will be phased out by 2024. The order builds on one issued in 2014 when Biden was vice president; Donald Trump amended that order while he was president to exclude outfitters and guides operating on federal lands. Biden's new version revokes that exemption, and as a result many Colorado companies whose businesses rely on federal permits and property may soon have to pay their workers more.
One Colorado business that will be impacted is Xanterra, a luxury travel company that operates hotels in many national parks across the country including Yellowsone, the Grand Canyon and Rocky Mountain National Park. Xantera, which is is owned by billionaire Philip Anschutz, is one of the largest businesses that falls under the order. Companies that operate ski resorts will be affected, too; they primarily operate on federal land.
But many of the impacted businesses don’t have deep pockets, especially those in the river-rafting industry, according to David Costlow, CEO of...
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