Ohioans with disabilities can receive less than minimum wage. Will that change?

The idea seems simple: Ohio workers should earn at least minimum wage − even if they have disabilities.

But in practice, the debate over whether individuals with disabilities should earn minimum wage has been far more controversial and complex. As of mid-2023, about 44,434 people with disabilities nationwide earned less than minimum wage, according to federal labor statistics.

"They shouldn't be relegated to workshops where they are making $3 or $4 an hour," said Rep. Dontavius Jarrells, D-Columbus, who is working on a bill to change that. "They should be integrated into the broader community and seen as people, too."

As the debate continues, a court decision, proposed legislation and a future $15 minimum wage amendment could shake up the system.

What is subminimum wage?

The federal Fair Labor Standards Act of 1938 allows employers to pay a subminimum (less than minimum) wage to individuals with disabilities. When it was enacted, the law helped those with disabilities enter the workforce rather than being sequestered in institutions.

Now, the push to pay individuals with a disability at least minimum wage is a civil rights issue, said Jan Dougherty, co-president of the Ohio Association of People Supporting Employment First (APSE). "They should have the same rights as all of us do, regardless of their disability."

However, relatives of those with severe disabilities worry that increasing the minimum wage will eliminate programs that pay a piece rate for the number of items built or completed. Without those options, these individuals might not have a way to work.

"Approximately 20% of our most severely disabled will fall through the cracks and lose their employment," said state Rep. Scott Lipps, R-Franklin, who is working on legislation with Jarrells. "Those parents fear if that (work) is taken away from them, what will happen to their loved one. Will they, in fact, sit in an institution and be put in front of a TV for 10 and 12 hours at a time."

Jarrells said he doesn't want to eliminate workshop programs, but workers who can work in the community would benefit from doing so. "There's a place for workshops but I also think it's critical that we have this conversation regarding wages," he said. "People with disabilities are just as capable as everyone else. Period."

What could eliminate subminimum wage?

House Bill 427, introduced by Jarrells and Lipps, would ban paying individuals with disabilities less than minimum wage after five years. The bill currently has no incentives for employers and workshops to make that switch, but both lawmakers expect to include tax benefits and grants in later versions.

That's important because about 3,000 people with disabilities will need new options if workshops close or change their approach, said Adam Herman, CEO of the Ohio Association of County Boards, which is neutral on the bill. "Legislation by itself can't put people into competitive jobs."

More than a dozen states have eliminated subminimum wages for individuals with developmental disabilities. And the number of subminimum wage programs in Ohio has dropped over the past decade.

"Even without legislation, subminimum wage programs have been on their way out for years," Herman said. "Expectations within families and within society at large have dramatically shifted in support of people with disabilities working in the community. But we still have a ways to go."

Past efforts to end subminimum wage in Ohio have stalled because of the conflict over how to move forward. Lipps said the latest bill has "no path" to pass before the end of the year, but he hopes lawmakers can build on the idea and pass it in 2025.

Another issue: People with disabilities don't have the lobbying power that other groups wield.

"For many people, the fact that someone could be paid subminimum wage is just not something that they realize can happen," Disability Rights Ohio CEO Kerstin Sjoberg said. "I think when they become aware of it, they are shocked."

Meanwhile, a federal judge recently ruled in favor of three workers who were blind, saying they should receive back pay because there was no clear evidence that their disabilities impacted their productivity.

"This ruling points to the truth that we have always known: the subminimum wage exemption is simply a manifestation of society’s low expectations and false assumptions regarding the capacity of workers with disabilities," said Mark Riccobono, president of the National Federation of the Blind in a statement.

That ruling doesn't eliminate subminimum wage in Ohio, but companies could be violating the law if they aren't assessing the abilities of employees who are disabled, Sjoberg said.

Another factor in the debate over subminimum wage is a proposed constitutional amendment to raise the minimum wage to $15 an hour by Jan. 1, 2026. Proponents missed the July 3 deadline to make this November's ballot but are working to put the issue before voters next year.

"If this passes, which I believe it will if it gets on the ballot, it will have an immediate impact on those individuals in the developmental disability space," Jarrells said. "There would be no longer subminimum wage for people with disabilities."

Lipps said he would adjust to whatever Ohio voters decide to ensure individuals with disabilities are safe and their employers can handle the changes.

"Nobody involved in this process wants disabled individuals to be left behind. It just cannot happen," Lipps said.

Jessie Balmert is a reporter for the USA TODAY Network Ohio Bureau, which serves the Columbus Dispatch, Cincinnati Enquirer, Akron Beacon Journal and 18 other affiliated news organizations across Ohio.