Synopsis:

Update (6/29/21): H.B. 122 passed the Senate by a vote of 21–0.

Update (6/23/21): H.B. 122 passed the House of Representatives by a vote of 39–1.

H.B. 122, the Jamie Wolfe Employment Act, would prohibit all Delaware companies from paying individuals with disabilities a subminimum wage starting in 2024. Currently, businesses wishing to operate sheltered workshops, which employ adults with disabilities in environments separate from other employees, may apply to the U.S. Department of Labor for “Section 14(c)” certificates. Companies that receive the certificates are given permission to pay these employees less than the federal minimum wage, even as low as $0.01 an hour. According to the Fair Labor Standards Act, the employer determines the wage, which is supposed to be equal to the individual’s productivity on the job. H.B. 122 supporters say this arrangement perpetuates an outdated view of disability characterized by low expectations and inequitable treatment under the law. They say companies benefit from employee diversity, and all workers deserve at least a federally guaranteed minimum wage, regardless of disability. The bill’s opponents say sheltered workshops provide opportunities to work and socialize to individuals who would likely not be hired on the competitive labor market.

Currently, one Delaware company holds a Section 14(c) waiver and employs fewer than 100 people. H.B. 122 would task the state Employment First Oversight Commission with recommending supports for these and any other Delawareans with disabilities making subminimum wage as they transition to competitive employment or other pursuits of their choice. An amendment to the bill also calls for the Commission to include members representing workshop employees and employers – the latter are expected to address companies’ concerns of either having to pay higher wages or needing to reduce their workforce – as well as disability advocacy organizations, state agencies and disability employment specialists.

H.B. 122 passed the Delaware Senate unanimously and received only one vote against it in the House.

Supporters:

Reps. Heffernan (D), Bennett (D), Brady (D), Dorsey Walker (D), Griffith (D), Kowalko (D), Lambert (D), Longhurst (D), K. Williams (D); Sens. Bonini (R), Ennis (D), Mantzavinos (D), McBride (D), Poore (D), Paradee (D), Richardson (R), Walsh (D); The Arc of Delaware, Del. Developmental Disabilities Council, Del. Disabilities Law Program, Del. State Council for Persons with Disabilities, Employment First Oversight Commission.

Opponents:

Rep. Collins (R); A-Team Delaware, Elywn, Kent-Sussex Industries, some parents of individuals working in Delaware sheltered workshops.

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