Disabled people are more likely to be poor.
By Mia Ives-Rublee
Senior Director, Disability Justice Initiative
Center for American Progress
By Casey Doherty
Disability Policy Analyst
Center for American Progress
Introduction
The U.S. Department of Labor (DOL) and the White House Office of Management and Budget are asking the public to comment on a new rule on Section 14(c) of the Fair Labor Standards Act. Section 14(c) allows employers to request a certificate from the DOL’s Wage and Hour Division to pay less than the federal minimum wage to disabled workers. The new rule would make it so that the Wage and Hour Division can no longer issue Section 14(c) certificates, thereby ending the practice of paying disabled people subminimum wages.
The new rule would:
1. Stop issuance of new Section 14(c) certificates to employers submitting an initial application on or after the effective date of a final rule
2. Permit existing Section 14(c) certificate holders, assuming all legal requirements are met, to continue to operate under Section 14(c) certificate authority for up to three years after the effective date of a final rule
The DOL is asking for the public to comment on a possible limited extension provision beyond the end of the proposed three-year phaseout period, as well as on giving employers who use Section 14(c) the ability to apply for an extension and what that extension would look like. Specifically, the DOL wants to hear the public’s opinions on: 1) the length of time of the extension; 2) the reasons that would qualify an employer for an extension; 3) the paperwork the employer should provide to prove a need for an extension; 4) how the requests for extensions would be reviewed; and 5) how the employer would apply for an extension.
This column:
• Explains how to submit a comment
• Provides suggestions on what to include in a comment
• Gives key statistics on how Section 14(c) affects disabled people and how eliminating it could improve their lives
How to Submit a Comment
1. Visit the proposed rule webpage in the Federal Register.
2. Click on the green “Submit a public comment” button beneath the rule title.
3. Type your comment. You may also attach it as a file.
4. Enter your email address, if you choose to provide it. You can also select the checkbox to opt to receive email confirmation of your submission and a tracking number, but it is not required.
5. Select whether you are an individual or an organization, or whether you want to be anonymous. Note that if you select “individual” or “organization,” the content of the comment and your name will be made viewable to the public.
6. Select the box that says: “I read and understand the statement above.”
7. Review your comment and click “Submit comment.” You may also preview your comment if you would like.
Format and Outline for Comments
• Introduction: Introduce yourself or your organization. If you would like, you can include information about your disability, if applicable.
• State your support for the proposed rule change: Make sure you clearly write that you support the new proposed rule to eliminate Section 14(c) of the Fair Labor Standards Act that allows employers to pay disabled workers subminimum wages.
• Explain why you care: This is a chance to talk about how paying disabled people subminimum wages is dehumanizing and exploits the disability community and their work. Paying disabled people subminimum wages forces them into poverty.
• Include personal details: You can use a personal story or a story of someone you know. Some personal stories or topics that may be helpful to highlight include:
– How equitable pay allows you or someone you know to support yourself and your loved ones
– Whether you or someone you know has been forced to work in segregated or workshop settings
– How working in an integrated work setting has made you or someone you know feel like part of the community
– How the Section 14(c) program and subminimum wages have kept you or someone you know from achieving integrated employment and advancing in your career
– How access to competitive integrated employment has allowed you to support yourself and advance in your career
– What type of support services have helped you obtain and maintain employment
• Finalize your thoughts: Restate your strong support for the rule change around Section 14(c) of the Fair Labor Standards Act and for eliminating paying disabled workers subminimum wages.
Key Points and Statistics to Include
• Up to 1 in 4 adults have some type of disability, according to the Centers for Disease Control and Prevention.
• Having a disability means a person is more likely to live in poverty.
• Disabled people face many barriers to employment and economic security.
• Disabled workers are overrepresented in low-wage and part-time jobs, contributing to a wage gap in which people with a disability earn a median wage of 66 cents for every $1 made by people without a disability. Section 14(c) exacerbates this wage gap.
• As of July 2024, at least 788 facilities nationwide were paying subminimum wages to approximately 40,000 workers as part of the Section 14(c) certificate program.
• In a 2019–2021 survey of Section 14(c) programs, the Government Accountability Office found that 81 percent of workers making less than $3.50 per hour were paid a piece rate, in which wages are based on the number of units a worker produces rather than the time they work.
• Employment of disabled people has increased in states that have eliminated Section 14(c).
• If all workers currently on Section 14(c) certificates receive wage increases to the minimum wage—either as a result of wage increases from their current employer or if they find new employment at the minimum wage—while maintaining their current hours, the total gain in annual earnings would be $174.8 million.
• Numerous states and localities have already prohibited or limited the payment of subminimum wages to workers with disabilities within their jurisdictions.
• All people, including individuals with disabilities, have the right to be paid a livable wage for their work.
Conclusion
Submitting a comment in support of the proposed rule changes to eliminate Section 14(c) of the Fair Labor Standards Act will ensure all voices are heard. Feedback and personal experiences submitted via public comments matter and can help ensure the DOL follows through on eliminating a program that currently allows organizations to pay disabled workers subminimum wages.
Originally published by The Center for American Progress, 12.06.2024, republished with permission educational, for non-commercial purposes.
