Maryland Is First State Requiring Living Wage

With Gov. Martin O'Malley's signature on the bill, Maryland this week became the first state to require government contractors to pay their employees a living wage -- $8.50 an hour in rural counties and $11.30 an hour in urban areas.

Unions and other advocates have pushed for a living wage in Maryland for the last decade. O'Malley said the bill says to state contract workers that "we are going to treat you in a fair and just and decent way."

The state legislature passed a similar measure in 2004 but the Republican governor, Robert Ehrlich Jr. vetoed it. Supporters estimate that the new law could help 50,000 workers.