Senate committee advances bill to phase out 14(c) subminimum wages for people with disabilities

The Senate Insurance and Labor Committee on a voice/hand vote advanced Senate Bill 55, the "Dignity and Pay Act," which would phase out use of Fair Labor Standards Act section 14(c) certificates that allow some employers to pay workers with disabilities less than the federal minimum wage.

The bill, presented to the committee by Senator Billy Hickman, passed out of the committee unanimously after public testimony both supporting and opposing the measure. Senator Kirkpatrick made the motion to pass; Senator Robertson seconded and the committee approved the motion by unanimous signaled vote.

Supporters said SB 55 would restore wages and opportunity for Georgians with intellectual and developmental disabilities. Charlotte Dinsmore, executive director of the Georgia Council on Developmental Disabilities, told the committee: "This bill is about stopping certain employers from paying people with physical, mental mental disability less than federal minimum wage." Dinsmore said roughly 250 Georgians currently are paid under 14(c) certificates and that eight community rehabilitation programs still use those certificates; she said six of the eight programs are already transitioning away from the practice.

Leah Solar, who works with the Georgia Council on Developmental Disabilities, described a worker who moved from a job paying under $3 per hour to one paying $14 and testified that integrated, community employment can provide greater pay and social inclusion. Lisa Newbern, chair of the Georgia Council on Developmental Disabilities, said the bill seeks only to pay people minimum wage or better: "We are not looking to take away day programs. We are not looking to take away their jobs. We are looking to pay them fairly," she said.

Opponents, including Lee McIntosh of Creative Enterprises, said some adults in sheltered or workshop settings lack the capacity or supports to work independently in community jobs and that removing the option could take away meaningful activity for those individuals. McIntosh said many clients live with family or in group homes and that some participants want to remain in workshop settings for safety or social reasons. Ted Ward, who described himself as the brother of a 33‑year‑old sister with Down syndrome, urged the committee to include language protecting production facilities and individualized programs.

Senator Hickman and several witnesses noted the bill is not designed to immediately close community rehabilitation programs or eliminate sheltered workshops. The committee heard that SB 55 would give community rehabilitation programs two years to increase wages to the federal minimum (identified in committee discussion as $7.25 an hour) and that supporters believe federal and state transition resources are available to help programs shift to competitive employment models.

Committee members asked supporters about the potential for job losses; Charlotte Dinsmore said data from other states showed workers moved into integrated employment and that six of Georgia's eight programs were already taking steps to move away from subminimum wages. Dinsmore also noted the public tax‑filing difference she said exists between one provider and others on the list she distributed to committee members.

The committee advanced the bill; no amendments were adopted during the meeting. The bill sponsor and witnesses said further work with providers, families and state agencies is expected as the measure continues through the legislature.

Votes at a glance: Senate Bill 55 (Dignity and Pay Act) — Committee motion to "do pass" approved unanimously by voice/hand vote.

Why it matters: Supporters said the bill would align Georgia with 13 other states that have phased out 14(c) and would ensure people with disabilities receive at least the minimum wage while proponents and some providers urged protections for participants who need structured workshop programs or specialized supports.

Next steps: The bill moves to the next stage of the Senate process for additional consideration and possible floor action.