In a pivotal move, the U.S. Department of Labor has officially withdrawn its proposed rule to phase out Section 14(c) of the Fair Labor Standards Act (FLSA). The proposed rule published on December 4, 2024, is withdrawn as of July 7, 2025. This decision marks a significant moment for organizations that serve individuals with disabilities, reaffirming the vital role of the Section 14(c) certificate program in ensuring fair employment opportunities for workers with disabilities.
What Does This Mean for IDD Organizations?
The withdrawal of the proposed rule means that Section 14(c) remains intact, allowing employers to continue applying for special certificates to pay workers with disabilities below the federal minimum wage when their disability impairs their earning capacity. For Intellectual and Developmental Disabilities organizations, this decision is a huge step forward, as it provides the certainty and support needed to maintain the employment opportunities of thousands of workers.
As the landscape of disability employment continues to evolve, this decision highlights the importance of preserving equal opportunities of employment for individuals who may not yet be ready for competitive integrated employment (CIE). It highlights that for some, the option of earning a subminimum wage through a Section 14(c) certificate may still be a crucial step in their professional journey.
How Vertex Supports IDD Organizations
Vertex is proud to stand with IDD organizations, offering solutions that enhance employment outcomes, streamline operations, and improve service delivery. We understand the unique challenges these organizations face and offer comprehensive software designed to support both operational efficiency and compliance.
Whether you’re managing employment records, tracking services, or ensuring compliance with state and federal regulations, Vertex’s tools are built with the needs of IDD agencies in mind. Our solutions help organizations stay focused on their mission to empower individuals with disabilities, enabling them to continue delivering quality services while ensuring adherence to the legal requirements of programs like 14(c).
What’s Next for IDD Organizations?
With this announcement, IDD organizations can continue to rely on 14(c) to support their workforce, but it’s also an opportunity to think about the future. Vertex is here to help you navigate any changes in legislation, enhance operational workflows, and optimize care for individuals with disabilities.
This is an exciting time for the IDD community, and Vertex is proud to play a part in supporting these important efforts. If you’re ready to learn more about how our solutions can help your organization, get in touch with us today.
