In a heartening shift towards inclusivity, there is a growing movement to end the practice of paying subminimum wages to workers with disabilities. This effort aims to ensure fair compensation for all workers, regardless of their abilities.
Understanding the Issue
The Fair Labor Standards Act (FLSA) of 1938 allowed employers to pay workers with disabilities less than the federal minimum wage under Section 14(c). Initially intended to encourage hiring, this provision has been criticized for perpetuating inequality. As of May 2024, about 40,579 workers were paid subminimum wages, with a median earnings rate of $3.46 per hour.
Moving Forward
The U.S. Department of Labor has proposed phasing out Section 14(c) certificates over three years, transitioning workers into jobs that pay at least the federal minimum wage. Several states are also taking action:
- Illinois: The Dignity in Pay Act phases out subminimum wages by December 31, 2029, supporting employers during the transition and expanding employment opportunities.
- Georgia: Lawmakers are considering the Dignity and Pay Act, which would phase out subminimum wages over two years with bipartisan support.
Support and Opposition
Supporters of ending subminimum wages include:
- Disability Rights Organizations: Groups like Disability Rights California and the American Association of People with Disabilities (AAPD) strongly support the proposed rule, arguing that it will help end economic exploitation and promote fair working conditions.
- Labor Unions: Organizations such as the SEIU have expressed support for ending subminimum wages, aligning with disability rights groups.
- Major Employers: Companies like Microsoft and JP Morgan Chase have also taken public positions against subminimum wages.
Opponents include:
- Some Republicans: Figures like Rep. Cathy McMorris Rodgers and Sen. Steve Daines have expressed concerns about ending subminimum wages, citing potential job losses for individuals with disabilities.
- VOR (Voice of the Retarded): This organization advocates for individuals with intellectual disabilities and their families, arguing that some benefit from the structure provided by subminimum wage environments.
As the movement to end subminimum wages continues to gain momentum, it represents a significant step towards recognizing the value and contributions of all workers. Ending this practice is not just about policy; it’s a celebration of the human spirit and a recognition of the invaluable contributions individuals with disabilities make. By embracing equality in the workplace, we honor the principles of fairness and equality that underpin our society, ensuring a brighter future for everyone.
Citations:
- U.S. Department of Labor Proposal:1
- Illinois Dignity in Pay Act:2
- Georgia Dignity and Pay Act:3
- Disability Rights Organizations Support:4
- Labor Unions Support:5
- Major Employers Support:6
- Opposition from Republicans:17
- Opposition from VOR: Not explicitly cited in the search results, but mentioned in the context of opposition.
- Raise the Wage Act:58
- AFL-CIO Support:7
- https://www.wageandhourlawupdate.com/2024/12/articles/department-of-labor/rulemaking/proposed-rule-would-end-subminimum-wage-for-employees-with-disabilities/
- https://www.littler.com/publication-press/publication/illinois-eliminates-subminimum-wages-disabled-employees
- https://www.wsbtv.com/news/local/atlanta/bill-filed-make-pay-equitable-georgia-workers-with-disabilities-phase-out-subminimum-wages/6WYI2ZVRF5ARFL2YVJWVMYTDAA/
- https://www.disabilityrightsca.org/latest-news/disability-rights-california-applauds-federal-proposal-to-end-subminimum-wage-for
- https://seiu.org/2017/05/raise-the-wage-act-of-2017-would-put-working-families-on-path-to-financial-security
- https://tcf.org/content/podcast/off-kilter-podcast-shifting-the-paradigm-on-disability-employment-with-bryan-gill-and-nan-gibson/
- https://www.peoplesworld.org/article/gop-resists-biden-and-afl-cio-backed-plan-to-raise-disabled-workers-pay/
- https://www.epi.org/publication/why-17-minimum-wage/
- https://advocacy.sba.gov/2024/12/17/dol-proposes-to-eliminate-subminimum-wage-for-workers-with-disabilities/
- https://www.shrm.org/topics-tools/employment-law-compliance/illinois-phases-out-subminimum-wage-workers-with-disabilities
- https://senatepress.net/sen-billy-hickman-applauds-senate-passage-of-dignity-and-pay-act.html
- https://www.aapd.com/end-subminimum-wage/
- https://www.aapd.com/wp-content/uploads/2023/11/Disability-Orgs-Letter-to-DOL.pdf
- https://www.newamerica.org/education-policy/reports/the-road-to-competitive-integrated-employment/perspectives-from-the-field/
- https://19thnews.org/2024/12/subminimum-wage-workers-with-disabilities-trump/
- https://www.epi.org/blog/youth-subminimum-wages/
- https://www.dol.gov/newsroom/releases/whd/whd20241203
- https://icdd.illinois.gov/dignity-in-pay-act.html
- https://www.fox5atlanta.com/news/georgia-dignity-and-pay-act-disabilities-equal
- https://nacdd.org/14cstatement/