The Fair Labor Standards Act (FLSA) provides for the employment of certain individuals at wage rates below the statutory minimum. Such individuals include student-learners (vocational education students), as well as full-time students employed in retail or service establishments, agriculture, or institutions of higher education. Also included are individuals whose earning or productive capacities are impaired by a physical or mental disability, including those related to age or injury, for the work to be performed. Employment at less than the minimum wage is authorized to prevent restriction of opportunities for employment.
This has become a huge problem for the disabled community as thousands of people with disabilities get paid less than 1 dollar for their work. States like Minnesota, who has a large population of people with disabilities working in these "sheltered workshops", are working towards ending the sub minimum wage as it is exploitive and many deem it as a violation of ADA.
The subminumwage needs to go
away. The “Sheltered workshops” they use to pay this wage just reinforce the dangerous notion that disabled people must be isolated and kept from society.
In case you think these companies are misunderstood, dogooders, according to a 2018 report by the National Council on Disabilities, the ten most extensive sheltered workshops had combined annual revenue of $523 million, and the CEO of the biggest sheltered workshop received a salary of $1.1 million while employing 1,790 sub-minimum wage workers!!!
Didn’t know that, sounds like another loophole exploited for cheap labour.