At Casey’s Urging, Biden Administration Proposes Phasing Out Subminimum Wage for People with Disabilities
For years, Casey has pushed to end discrimination against people with disabilities and ensure they are paid fair wages
Majority of subminimum wage workers earn less than $3.50 per hour, far below federal and state minimum wages
New Biden administration rule would end discriminatory pay for people with disabilities across the Nation
Washington, D.C. - Today, U.S. Senator Bob Casey (D-PA), Chairman of the U.S. Senate Special Committee on Aging, announced a new Biden Administration proposed rule that would phase out the usage of the subminimum wage for people with disabilities. Currently, employers can apply for certificates that allow them to pay workers with disabilities less than the federal minimum wage, which is currently $7.25 an hour. The majority of subminimum wage workers have an intellectual or developmental disability and are paid less than $3.50 an hour. The new proposed rule would phase out certificates allowing this discriminatory practice.
“Every worker deserves to be paid a fair wage, and Americans with disabilities are no exception,” said Chairman Casey (D-PA). “For years, I have pushed to end this shameful, discriminatory practice. This proposed rule is a step towards ensuring workers with disabilities are finally treated fairly and can achieve financial independence.”
Chairman Casey has long led efforts in Congress to end the subminimum wage for people with disabilities. At a hearing in February, he heard from successful employers who are already paying people with disabilities a fair wage and made the case for his Transformation to Competitive Integrated Employment Act, which would end the practice. In 2022, he pushed the Biden administration to award $177 million to 14 states across the country to phase out subminimum wage certificates.
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