The U.S. Department of Labor has presented a rule that would gradually eliminate Section 14(c) of the Fair Labor Standards Act. This provision presently permits employers to pay workers with disabilities less than the federal minimum wage of $7.25 per hour. Employers who possess extant certificates would be subject to a three-year phase-out period, and the issuance of new certificates would be prohibited. The Acting Secretary of Labor, Julie Su, underscored the fact that substantial legal and policy advancements have increased employment opportunities for individuals with disabilities, thereby facilitating the attainment of equitable compensation and fostering expanded workforce inclusion.
The proposal aligns with the Biden-Harris administration's commitment to fostering an inclusive and equitable workforce. Wage and Hour Administrator Jessica Looman highlighted that modern training and resources empower employers to recruit and retain workers with disabilities at or above the federal minimum wage. Assistant Secretary of Labor for Disability Employment Policy Taryn Williams added that the proposal reinforces the principle that all workers deserve fair compensation for their contributions. The department’s decision follows a comprehensive review and stakeholder engagement process conducted in 2023, which gathered insights from workers with disabilities, families, and advocates. The proposed rule reflects the administration's broader goal of ensuring equal employment opportunities and improving economic well-being for individuals with disabilities.
