Bill
Bill > HF538
summary
Introduced
02/20/2025
02/20/2025
In Committee
02/20/2025
02/20/2025
Crossed Over
Passed
Dead
Introduced Session
91st General Assembly
Bill Summary
This bill provides that in order to ensure full participation in the social and economic life of Iowa by persons with disabilities, it is declared to be the policy of the state that competitive and integrated employment shall be considered the first and preferred option when serving persons with disabilities who are of working age to obtain employment. The bill specifies this policy applies to programs and services that provide services and support to help obtain employment for persons with disabilities. The bill directs all state agencies to follow this policy and ensure that it is effectively implemented in their programs and services. The bill shall not be construed to require any employer to give preference to hiring persons with disabilities. The bill prohibits an employer from paying an employee less than the minimum wage provided in Code chapter 91D pursuant to 29 U.S.C. §214(c) on or after July 1, 2026. U.S.C. §214(c) is a provision of the federal Fair Labor Standards Act that authorizes persons with disabilities to be employed for less than the federal minimum wage in certain circumstances. The bill directs the department of inspections, appeals, and licensing to engage in outreach to make employers of persons with disabilities in Iowa aware of the prohibition. The prohibition does not apply to a nonprofit organization operating a sheltered workshop as otherwise provided by law. This exception to the prohibition is repealed July 1, 2027.
AI Summary
This bill establishes new policies and requirements regarding employment for persons with disabilities in Iowa. The legislation aims to promote competitive and integrated employment as the primary option for working-age individuals with disabilities, ensuring they receive fair wages and workplace opportunities. Specifically, the bill prohibits employers from paying employees with disabilities less than the minimum wage, effective July 1, 2026, which changes a previous federal provision (29 U.S.C. §214(c)) that allowed sub-minimum wage payments. The bill defines "competitive employment" as work performed in an integrated setting where employees are compensated at or above minimum wage and receive comparable benefits to non-disabled workers. An "integrated setting" is defined as a workplace where individuals with disabilities interact with non-disabled individuals in a manner similar to other employees. The department of inspections, appeals, and licensing is tasked with conducting outreach to inform employers about these new requirements. There is a temporary exemption for nonprofit organizations operating sheltered workshops, which will expire on July 1, 2027. Importantly, the bill emphasizes that while promoting employment opportunities for persons with disabilities, it does not require employers to preferentially hire these individuals.
Committee Categories
Labor and Employment
Sponsors (1)
Last Action
Tabled until future meeting. (on 02/26/2025)
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.legis.iowa.gov/legislation/BillBook?ga=91&ba=HF538 |
| BillText | https://www.legis.iowa.gov/docs/publications/LGI/91/attachments/HF538.html |
Loading...