Salaries for people with disabilities have historically been a contentious issue for many disability advocates. We believe that subminimum wage jobs must be phased out. But, we understand that it would be disruptive if employers were suddenly required to pay minimum wage and were forced out of business.
Federal law permits people with disabilities to be paid less than minimum wage. All it takes is a special certificate that allows pay by production rate rather than the hour. The reasoning is that some people with significant disabilities may not be able to produce the same amount of work as a person without a disability. This provision of the law is often used in paying people with significant disabilities in sheltered workshops or other jobs, such as some jobs at Goodwill Industries.
While many sheltered workshops apparently treat their workers well, there are known instances of abuse – including an infamous turkey farm in Iowa where dozens of men with cognitive disabilities were working for “as little as 44 cents per hour,” according to an article published in the DesMoines Register. Many opponents of subminimum wage think these practices are unacceptable and perpetuate discrimination against people with disabilities.
Numerous providers of disability services, however, have said that the current system allows more people with disabilities to be employed and they fear that if minimum wage were required then people would lose their jobs. There is also fear that if people with significant disabilities were paid over minimum wage they would be at risk for losing Medicaid coverage and other public benefits.
Fortunately, Congress is considering weighing in on the issue.
What is the best and most socially just thing to do? Spinal Cord Advocates has worked with the Justice For All Action Network (JFAAN) to advocate for fair and just compensation and wages. JFAAN’s official position is:
Phase out (and ultimately eliminate) Section 14(c) of the Fair Labor Standards Act, which permits the payment of subminimum wage to workers with disabilities, and implement a multifaceted approach to achieve the goal of creating new competitive employment opportunities for workers who are currently earning subminimum wage. The phase out should prioritize creating new competitive employment opportunities for youth transitioning from school, and should include incentives for employers and community rehabilitation programs; expanding customized, supported, and self-employment, paid community service, job restructuring and other flex arrangements. Implementation of this policy shift must occur over time, with the shortest timeframe possible without diminishing employment opportunities for the 424,000 workers currently earning subminimum wage and those waiting for employment services.
