"Wanting to Work" Weekly Wisdom

If you knew you were making less than half of minimum wage per hour at your job, would you be excited to work?

Insert sub-minimum wage. Have you heard of this before? First, I want you to take in some numbers before I explain this more. 

There are 40.6 million people or 12.6% of total civilian noninstitutionalized population with a disability in the United States in 2018 per the 2018 American Community Survey

Out of that 40.6 million people, 7.6 million of the total civilian noninstitutionalized population ages 18 to 64 employed with a disability in 2018.

$23,848 is the median earnings in the past 12 months (in 2018 inflation adjusted dollars) of the civilian noninstitutionalized population age 16 and over with earnings and a disability in 2018.

Out of the small population of people with disabilities who are actually hired, many receive sub-minimum wages. There are many different ranges of those hired to work and what they are paid. Even as little as 3 cents on the dollar. 

What? 

The reason employers can pay such low wages is due to a loophole in the 1938 Fair Labors Standards Act. A cause allowing any company with a 14 (c) certificate to pay wages based on productivity or ability, even at rates below the minimum wage. See a list of these certificate holders here:  https://www.dol.gov/agencies/whd/workers-with-disabilities/section-14c/certificate-holders.

One area of specific interest of mine is how employers justify these sub-minimum-wages by saying they’re providing the workers with vocational training and jobs for those who otherwise never find one. These jobs are part of "community rehab programs" or “sheltered workshops.”  These programs are supported both by non-profit and private funding. They receive both federal and private contracts allowing them to use the labor of disabled workers. Some common jobs are food preparation, cleaning, secretarial work like filing and shredding, sorting aluminum cans, or assembling items. The theory of these programs is to employ those with disabilities, teach them a skill or trade so they can transition into other jobs. There are some great programs out there doing the best they can to service the population they have, as there are many humans in need of this kind of support both mentally, socially and monetarily. Unfortunately, sub-minimum wage does not do a lot as far as monetary support while they are working in the program. However programs will also help their clients of any ability find work outside of the program and clients can earn the same wage as their co-workers. 

Currently, Alaska, Maryland, New Hampshire, Vermont, Maine, the City of Seattle, Texas, Oregon (phasing out by 2023) all have eliminated sub-minimum wage. 

Hawaii, Washington, Minnesota, Kentucky and Illinois all have legislation out to end sub-minimum wage.

The more you know...

Next week, I will bring this all together for you. 

#embracethehellyeah

~AE