The White House is looking at a new policy that would give an advantage in bidding on government contracts to companies that offer a "living wage" and generous benefits.

But business groups opposing the idea maintain it would shut out smaller businesses from competing for more than $500 billion a year in federal contracts and increase government procurement costs.

The policy is known as "high road" contracting and could draw the Obama administration into a larger debate over whether the government should use public purse strings to strengthen the middle class and promote higher labor standards.

Advocates of the plan include unions. They say too many jobs financed by government contracts come with low wages and limited benefits and support companies that violate employment laws. (please click link to read full story)