The National Association of Councils on Developmental Disabilities commends the U.S. Department of Labor on its announcement for ending subminimum wages.
For Immediate Release
December 3, 2024
Washington, D.C. – Today, the U.S. Department of Labor announced a proposed rule to phase out subminimum wage certificates under Section 14(c) of the Fair Labor Standards Act, representing a critical step toward ensuring equity and dignity in the workplace for individuals with developmental disabilities.
The proposed rule would include stopping the practice of issuing new 14(c) certificates to employers, and phase out the use of existing 14(c) certificate holders over three years upon the finalization of the rule.
“This rule is a victory for fairness, opportunity, and the dignity of work,” said Jill Jacobs, Executive Director, NACDD. “Advocates across the country have worked tirelessly to demonstrate that people with disabilities can thrive in competitive, integrated employment when given the opportunity.”
For decades, Section 14(c) certificates have allowed some employers to pay workers with disabilities wages below the federal minimum wage. According to the Notice of Proposed Rulemaking (NPRM), the current regulatory framework was adopted in 1989, before the passage of the Americans with Disabilities Act.
Currently, there are 15 states that have ended 14(c) sheltered workshops and subminimum wage practices, with Illinois being the latest to pass the Dignity in Pay Act in November 2024. Most of these states have been successful due to the work involving the state’s developmental disabilities councils and coalitions to advocate to end sheltered workshops and subminimum wages.
NACDD encourages stakeholders to support this proposed rule by submitting comments to the Department of Labor by the January 17, 2025 deadline.
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About NACDD: NACDD is the national association for the 56 Governor-appointed Councils on Developmental Disabilities (DD Councils) across the United States and its territories. The DD Councils receive federal funding to support programs that promote self-determination, integration and inclusion for all people in the United States with developmental disabilities.
MEDIA CONTACT:
Devika Rao
media@nacdd.org