Ohio bill would require employers to pay people with disabilities minimum wage

Yahoo

15 hours ago

COLUMBUS, Ohio (WCMH) – While federal law allows employers to pay some individuals with disabilities less than minimum wage, Ohio lawmakers are attempting to eliminate the practice in the state.
House Bill 225, sponsored by Reps. Dontavius Jarrells (D-Columbus) and Tom Young (R-Washington Twp.), seeks to phase out subminimum wages for employees with disabilities over a five-year period.
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'This bipartisan legislation is about dignity,' Jarrells said at a hearing for the bill in May. 'It's about economic opportunity and it's about making sure every Ohioan, regardless of ability, has the right to fair wages and the chance to contribute meaningfully to their communities.'
Section 14(c) of the Fair Labor Standards Act of 1938 permits employers to pay workers whose disabilities impact their productivity less than the federal hourly minimum wage of $7.25, if they obtain a certificate from the U.S. Department of Labor. The practice is intended to prevent the restriction of employment opportunities for those with disabilities, according to the department.
Introduced in April, the bill would require employers who hold a certificate to submit a plan regarding phasing out subminimum wage to the Ohio Department of Developmental Disabilities. The plan would have to be submitted within 15 months of the bill's effective date.
Under the legislation, the state would assist employers with implementing their plans. Over the five-year transition period, the state would also be required to gather, monitor and publicly report the progress of the phase-out.
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The bill underwent three hearings in the House's Commerce and Labor Committee in May, where more than 40 people testified in support of the bill.
'Paying people with disabilities less than minimum wage devalues their labor and reinforces harmful stereotypes that their work is worth less,' said Justin Blumhorst with the disability support organization Capabilities. 'Many people with disabilities perform as well as or better than their non-disabled peers when given the proper support and accommodations.'
Seven spoke out against the legislation, including Brittany Stiltner with Sandco Industries, a nonprofit that provides employment skills training to people with developmental disabilities.
'At Sandco, the 14(c) certificate allows us to provide customized, supportive employment opportunities to individuals who may not be able to succeed in a traditional competitive work environment,' Stiltner said in written testimony. 'Phasing out this option entirely would eliminate opportunities for people who depend on it – individuals whose stories too often go unheard in policy conversations.'
In Ohio, 41 businesses have obtained federal 14(c) certificates, most of which are nonprofit agencies that 'provide rehabilitation and employment for people with disabilities,' often in a 'sheltered' setting, according to the Labor Department.
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Jarrells introduced a similar bill last April, but it only received one hearing and did not progress to the point of receiving a vote.
Sixteen states have already legislated or initiated the phase-out of subminimum wages, according to Jarrells. In December, the Labor Department proposed phasing out the practice nationally over three years. The agency has not provided an update on the status of the proposal since.
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