Study Finds 15 State Subminimum Wage Bans Cut 2,000 Jobs Per State Without Reducing Disabled Employment
Updated
Updated · Disability Scoop · Aug 11
Study Finds 15 State Subminimum Wage Bans Cut 2,000 Jobs Per State Without Reducing Disabled Employment
1 articles · Updated · Disability Scoop · Aug 11
Summary
Fifteen states that ended subminimum wage saw no significant drop in disabled workers’ overall employment, hours or wages, according to Michelle Yin’s analysis of 2009-2024 Labor Department and Census data.
Within two years of a ban, sheltered-workshop jobs paid under 14(c) fell by about 2,000 workers per state, while income from government welfare programs declined by more than 12%.
Yin said the aggregate gains masked uneven outcomes: workers with stronger skills often moved into competitive jobs, while some with more significant disabilities exited employment instead.
States that paired bans with supported employment, job coaching and vocational rehabilitation produced smoother transitions, suggesting implementation mattered as much as the policy change.
The findings arrive as 17 states have eliminated 14(c) certificates since 2015, even after the Trump administration withdrew a Biden-era plan to phase out the federal program.