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November 5, 2008 DOL Home > elaws Advisors > FLSA Section 14(c) Advisor |
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Determining Special Minimum Wage (SMW) Rates for Workers with Disabilities Under FLSA Section 14(c) Employers who have obtained authorizing certificates from the U.S. Department of Labor Wage and Hour Division may pay special minimum wages (SMWs) to workers with disabilities whose productive and earning capacities are impaired for the work being performed. An SMW is always less than the minimum wage established by the FLSA or, where applicable, the prevailing wage required by a McNamara-OHara Service Contract Act (SCA) wage determination. An SMW must also be a commensurate wage, based on the individual productivity of the worker with a disability (no matter how limited) in proportion to the productivity of experienced workers who do not have disabilities that impact their productivity when performing essentially the same work in the same vicinity. There are several steps that an employer must take in order to determine a special minimum wage rate:
For more generalized information about determining SMWs under FLSA Section 14(c), please read the following:
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