NYC Public Advocate Pushes State to End Subminimum Wages and Worker Exploitation Based on Age or Disability

January 27th, 2025

Press Release

New York City Public Advocate Jumaane D. Williams today called on the state legislature to pass a bill aimed at ending worker exploitation and subminimum wages based on age or disability. At a City Council hearing of the Committee on Civil Service and Labor this afternoon, he urged the Council to adopt his resolution in support of the state bill, and highlighted the abuses permitted through loopholes in current state law.

The Public Advocate’s resolution calls for the passage of State Senate Bill S28/Assembly Bill A1006, which would address longstanding issues established under the Fair Labor Standards Act. Originally intended to prevent hiring discrimination against workers with disabilities by permitting a subminimum wage, the law has been used to perpetuate unsustainable wages and abuses by some companies against their workforce. As of 2019, more than half of workers employed by organizations possessing a subminimum wage certificate earned less than $3.50 an hour, some as little as 22 cents an hour, a “brazen abuse of a legal loophole in the FLSA.”

“The FLSA is more than 85 years old, and with it comes provisions that may be arguably antiquated…” argued Public Advocate Williams in support of his resolution. “...While the intent of the subminimum wage was to ensure job opportunities for people with disabilities, it does not entirely account for the loopholes employers would go through to pay employees as little as possible for their work. Everyone deserves to seek and obtain dignified employment and be compensated fairly. It is time New York steps up and rids itself of this nearly-century-old ableist provision.”

Approximately 11% of the City’s total population live with some type of disability, and approximately 26% of adults in the State live with disabilities. The Public Advocate himself has Tourette Syndrome, and has long worked for equitable practices to support the disability community and workers in our city.

“It is time the State Legislature gets it to the finish line,” said the Public Advocate about the bill, “And I urge my colleagues to support my resolution to push for its passage.”

The Public Advocate’s full comments at the hearing are below.

STATEMENT OF PUBLIC ADVOCATE JUMAANE D. WILLIAMS TO THE NEW YORK CITY COUNCIL COMMITTEE ON CIVIL SERVICE AND LABOR

JANUARY 27, 2025

Good afternoon,

Thank you so much Madame Chair, really appreciate it, welcome everyone. Thank you for giving me the opportunity. As mentioned My name is Jumaane D. Williams and I am the Public Advocate for the City of New York. Thank you to Chair De La Rosa and members of the Committee on Civil Service and Labor for holding this hearing and for allowing me to share my statement.

Today, I am speaking in support of Resolution 0333-2024, which I reintroduced this legislative session. The resolution calls on the New York State Legislature to pass, and the Governor to sign State Senate Bill S28 (by Senator Skoufis) and its companion, State Assembly Bill A1006 (Assemblymember Steck). It would eliminate the subminimum wage for employees based on their disability or age. The bill goes as far back as 2017, and has been reintroduced every session since it is a matter of equity that the State of New York needs to address. It is time the State Legislature gets it to the finish line, and I urge my colleagues to support my resolution to push for its passage.

Presently, there are provisions outlined by the Fair Labor Standards Act (FLSA) that provide for the employment of individuals with disabilities at wage rates below the statutory minimum (otherwise known as the minimum wage). The intent of such a provision is to prevent employers from deciding against the hiring of individuals based on characteristics such as having a disability. Employers could receive a subminimum wage certificate from the Wage and Hour Division of the Department of Labor. Despite an effort to encourage the hiring of individuals with disabilities, the real life application of the provision still leads to major pay discrepancies and unfair treatment in the workplace.

According to the United States Government Accountability Office, since 2019, more than half of workers employed by organizations possessing a subminimum wage certificate earned less than $3.50 an hour. In a report from NBC News, Goodwill Industries paid some workers with disabilities as little as 22 cents an hour, a brazen abuse of a legal loophole in the FLSA and a showcase of how the company undervalues its workers.

Senate Bill S28/Assembly Bill A1006 would eliminate these provisions, allowing New York to finally join the 18 other states that have passed legislation that has or will end subminimum wagework for people with disabilities. The legislation would also impact both New York City and State, as both have a significant population of residents living with disabilities. Approximately 11% of the City’s total population live with some type of disability, and approximately 26% of adults in the State live with disabilities. Researchers estimate that there are around 1,400 workers paid a subminimum wage, with a large portion of them classified as individuals with disabilities

The FLSA is more than 85 years old, and with it comes provisions that may be arguably antiquated. Enacted during the middle of World War II, the FLSA went into effect when the country experienced financial constraints and a shortage of the then-current workforce because of the draft for military service. While the intent of the subminimum wage was to ensure job opportunities for people with disabilities, it does not entirely account for the loopholes employers would go through to pay employees as little as possible for their work. Everyone deserves to seek and obtain dignified employment and be compensated fairly. It is time New York steps up and rids itself of this nearly-century-old ableist provision. I ask my colleagues to support my Resolution to push our State Legislators to finally do so

Thank you, Chair for hearing this piece of legislation as well, thank you.

Back to press reports

Media Inquiries:

press@advocate.nyc.gov
Our Office

David N. Dinkins Municipal Building
1 Centre Street 15th Floor North
New York, NY 10007

Email: gethelp@advocate.nyc.gov

Hotline: (212) 669-7250

*Our fax number has changed temporarily while we upgrade our infrastructure
© 2025 Copyright: Office of the New York City Public Advocate
Privacy Policy