Why are we still paying workers with disabilities a subminimum wage?

Why are we still paying workers with disabilities a subminimum wage?

By James Skoufis and Rebecca Lamorte | November 13, 2023

In the thriving heart of New York’s economy hides a systemic injustice: Disabled workers, constrained by an archaic law, endure significant economic inequality in the form of a subminimum wage.

The Fair Labor Standards Act, enacted in 1938, permitted employers to pay disabled workers less than the minimum wage. The policy initially was intended to enhance employment opportunities. In practice, it cultivates discrimination and disparity. Not even the landmark Americans with Disabilities Act of 1990, which prohibited discrimination against disabled workers, altered the subminimum wage policy. 

While there are other workers earning a subminimum wage — including industrial homeworkers and student learners — disabled people represent the largest demographic legally sanctioned to receive these unfairly low wages. 

In New York, a wide variety of industries exploit this loophole, resulting in disabled individuals earning well below the established $15/hour minimum wage that many of us fought hard to win for workers in our state. In a disheartening revelation, a 2022 study by the Kessler Foundation found that 39% of disabled workers earn subminimum wages. According to a 2023 U.S. Government Accountability Office report, many of them earn below $3.50/hour.

The subminimum wage has been met with decades of legislative indifference in Albany, and New York can no longer wait for congressional action. When lawmakers return to Albany in January, they’ll have the opportunity to consider legislation that will finally end the minimum wage exemption for employees with disabilities. New York must join California, Alaska, Maine and Tennessee and commit to ending this system of economic oppression. 

Unfortunately, resistance is inevitable. New York has tried and failed to end this labor practice numerous times in recent years. To those who oppose eliminating the subminimum wage, we pose a question: Does your business model depend upon the exploitation of disabled workers?

This isn’t mere policy reform; it’s an overdue reclamation of dignity for disabled workers. The more than two million people with disabilities who call New York home have the right to fair wages and societal respect.

The Legislature has a moral obligation to shake off the shroud of inaction and abolish the subminimum wage. It will be a victory for economic justice and equity.

State Sen. James Skoufis of Orange County represents the 42nd Senate District. Rebecca Lamorte is a New York City-based disability rights advocate.

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