THE HR BREAKDOWN

Biden administration moves to end subminimum wages for disabled workers

Jackie Alemany, a congressional investigations reporter at The Washington Post, writes about an impending Biden administration move to end subminimum wages for disabled workers. For nearly 90 years, the Fair Labor Standards Act has allowed employers to pay disabled individuals less than the minimum wage, with some earning as little as 25 cents an hour. Activists argue that this law, known as Section 14(c), is outdated and devalues the work of disabled individuals. President Joe Biden’s Labour Department is reportedly reviewing a new rule that could phase out this program, fulfilling his 2020 campaign promise. The proposed changes aim to enhance compliance and potentially eliminate the subminimum wage altogether. However, the rule must navigate a lengthy review process and face potential legal challenges.

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