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Labor Department Proposes Phase-Out of Subminimum Wage for Disabled Workers

The Department of Labor plans to eliminate subminimum wage for disabled workers, affecting about 40,000 individuals, as part of a new proposal.

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Overview

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The Biden administration's Labor Department has proposed a rule to phase out subminimum wages for disabled workers paid under Section 14(c) of the Fair Labor Standards Act, impacting approximately 40,000 individuals. The proposal cites advancements in employment opportunities and aims to enhance economic wellbeing and inclusion of disabled individuals in the workforce. The plan includes a three-year phase-out period for existing certificates and will accept public comments until January 17, 2025. While advocates support the change, critics warn it may reduce job opportunities for some disabled workers.

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US proposes to end subminimum wage for disabled workers
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