STATE NEWS

At Casey’s urging, Biden Administration proposes phasing out subminimum wage for people with disabilities

New Biden administration rule would end discriminatory pay for people with disabilities across the nation.

Aug 22, 2024; Chicago, IL, USA; Sen. Bob Casey, D-Penn., speaks during the final day of the Democratic National Convention at the United Center. Mandatory Credit: Jasper Colt-USA TODAY ORG XMIT: USAT-895108 (Via OlyDrop)

New Biden administration rule would end discriminatory pay for people with disabilities across the nation.

  • State

On Tuesday, 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 sub-minimum 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 sub-minimum 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 Casey. “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.”

Casey has long led efforts in Congress to end the sub-minimum 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 Actwhich would end the practice.

In 2022, he pushed the Biden administration to award $177 million to 14 states across the country to phase out sub-minimum wage certificates.



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