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City of Dallas Increases Minimum Wage for Contract Employees

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The City of Dallas established a Living Wage Policy for its general services contracts with Resolution No. 15-2141, which has been in effect since November 10, 2015.

This policy mandates an annual wage adjustment determined by the MIT Living Wage Calculator, which accounts for current living costs in Dallas County. For the 2026 fiscal year, the mandated minimum wage is $23.06 per hour, representing a $1.01 increase from the FY25 rate of $22.05 and a 110% rise since the policy’s inception.

The Office of Procurement Services (OPS) updates this wage each year on October 1 to correspond with the city’s fiscal year. Due to inflation and increasing costs, the MIT-based living wage has experienced notable growth in recent years.

Starting with solicitations issued on or after October 1, 2025, contractors must pay at least $23.06 per hour to employees covered by these contracts. They may choose to pay higher wages or increase pay rates during the contract, but must meet or exceed the wage rate in effect at the time of the solicitation for the entire duration of the contract. This requirement applies to various general services including landscaping, janitorial, and administrative work.

Contracts solicited before October 1, 2025, will continue to adhere to the wage rate in effect at the time they were originally issued.

It’s important to note that this wage policy applies exclusively to workers on city general services contracts and does not influence wages for private-sector employees in Dallas, who are still governed by the Texas minimum wage of $7.25 per hour, aligned with federal standards.



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