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At Casey’s urging, Biden Administration proposes phasing out subminimum wage for people with disabilities

New Biden administration rule would end discriminatory pay for people with disabilities across the nation.

Aug 22, 2024; Chicago, IL, USA; Sen. Bob Casey, D-Penn., speaks during the final day of the Democratic National Convention at the United Center. Mandatory Credit: Jasper Colt-USA TODAY ORG XMIT: USAT-895108 (Via OlyDrop)

New Biden administration rule would end discriminatory pay for people with disabilities across the nation.


  • State

On Tuesday, U.S. Senator Bob Casey (D-PA), chairman of the U.S. Senate Special Committee on Aging, announced a new Biden Administration proposed rule that would phase out the usage of the sub-minimum wage for people with disabilities. 

Currently, employers can apply for certificates that allow them to pay workers with disabilities less than the federal minimum wage, which is currently $7.25 an hour. The majority of sub-minimum wage workers have an intellectual or developmental disability and are paid less than $3.50 an hour. The new proposed rule would phase out certificates allowing this discriminatory practice.

“Every worker deserves to be paid a fair wage, and Americans with disabilities are no exception,” said Casey. “For years, I have pushed to end this shameful, discriminatory practice. This proposed rule is a step towards ensuring workers with disabilities are finally treated fairly and can achieve financial independence.”

Casey has long led efforts in Congress to end the sub-minimum wage for people with disabilities. At a hearing in February, he heard from successful employers who are already paying people with disabilities a fair wage and made the case for his Transformation to Competitive Integrated Employment Actwhich would end the practice.

In 2022, he pushed the Biden administration to award $177 million to 14 states across the country to phase out sub-minimum wage certificates.


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