House bill would let employers pay subminimum wages to disabled adults of any age

What does this do?

HR 8736 removes the current age cap that limits subminimum-wage jobs to workers age 24 and under, allowing employers to pay lower wages to adults with disabilities at any age. The bill also allows employers to proceed with subminimum-wage hiring if the state fails to respond to a required job-counseling referral. Additionally, it requires that documentation of the worker's situation be shared directly with the employer, rather than held only by the state agency.

Who does it affect?

The bill primarily affects adults with disabilities who work in jobs covered under Section 14(c) of the Fair Labor Standards Act, including sheltered workshops. It also affects employers who run those programs and state agencies that provide vocational rehabilitation services.

Why does it matter?

Removing the age cap expands the pool of workers who can legally be paid below minimum wage under Section 14(c). The provision allowing employers to bypass a non-responsive state agency reduces a procedural check that previously delayed or prevented subminimum-wage hiring.

Where does it stand?