Saturday, August 25, 2012

Feds Recommend Phasing Out Subminimum Wage

A key federal agency is calling for an end to a controversial government policy allowing some employers to pay workers with disabilities less than minimum wage.
In a report that’s expected to be sent to President Barack Obama on Thursday, the National Council on Disability is recommending that a provision of the Fair Labor Standards Act — section 14(c) — which allows companies to obtain government permission to pay so-called subminimum wage be eliminated over the course of six years.
“The 14(c) program should be phased-out gradually as part of a systems change effort that enhances existing resources and creates new mechanisms for supporting individuals in obtaining integrated employment and other non-work services,” writes Jonathan Young, chairman of the National Council on Disability, in a letter to the president that accompanies the report, a copy of which was provided to Disability Scoop in advance. “NCD recommends a phase-out of the 14(c) program rather than immediate repeal because those who have been in the program for many years need time to transition to a supported employment environment.”
Read more of Michelle Diamente's Disability Scoop article HERE.
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