HB3494 - Relating to wages paid to certain workers with disabilities.

  89R12960 JSC-D     By: Hernandez H.B. No. 3494       A BILL TO BE ENTITLED   AN ACT   relating to wages paid to certain workers with disabilities.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Effective September 1, 2030, Section 62.051,   Labor Code, is amended to read as follows:          Sec. 62.051.  MINIMUM WAGE. An [ Except as provided by   Section 62.057, an ] employer shall pay to each employee the federal   minimum wage under Section 6, Fair Labor Standards Act of 1938 (29   U.S.C. Section 206).          SECTION 2.  Section 62.057, Labor Code, is amended by adding   Subsection (e) to read as follows:           (e)  This section expires September 1, 2030.          SECTION 3.  Section 62.161, Labor Code, is amended to read as   follows:          Sec. 62.161.  SHELTERED WORKSHOPS.   (a)   A nonprofit   charitable organization that is engaged in evaluating, training,   and employment services for clients with disabilities and that   complies with federal regulations covering those activities is   considered to have complied with this chapter.           (b)  This section expires September 1, 2030.          SECTION 4.  Chapter 62, Labor Code, is amended by adding   Subchapter F to read as follows:   SUBCHAPTER F.   MINIMUM WAGE PLAN FOR WORKERS WITH DISABILITIES           Sec.   62.251.     APPLICABILITY. This subchapter applies to an   employer who pays workers with disabilities wages that are less   than the federal minimum wage under Section 6, Fair Labor Standards   Act of 1938 (29 U.S.C. Section 206).           Sec.   62.252.     WORKFORCE COMMISSION ASSISTANCE.   The   workforce commission shall assist:                 (1)     an employer in developing a plan to increase the   wages paid to its workers with disabilities to the federal minimum   wage not later than September 1, 2030; and                 (2)  an employer by providing:                       (A)     information about certified benefits   counselors to ensure that workers are informed about work   incentives and the potential impact the increase in wages may have   on a worker's eligibility for any federal or state benefit program;   and                       (B)     a referral to a certified benefits counselor   to any worker with a disability who requests a referral.           Sec.   62.253.     EMPLOYER RETENTION OF WORKERS.   (a)   Each   employer shall, to the maximum extent possible, ensure that each   worker with a disability remains employed by the employer after the   employer increases the wages paid to those workers to at least the   federal minimum wage.           (b)     If an employer is unable to employ all workers with a   disability after the employer increases the wages paid to those   employees to the federal minimum wage, the employer shall work with   the commission and any other governmental entity to seek and obtain   any job training and employment services that may be suitable for   those former employees to find other employment that pays at least   the federal minimum wage.           Sec.   62.254.     WORKER ASSISTANCE BY COMMISSION.   In addition   to the assistance described by Section 62.253(b), the commission   may, at the worker's request, assist a worker with a disability not   retained by an employer to secure employment in a position that pays   at least the federal minimum wage.           Sec.   62.255.     EXTENSION.   (a)   On request of an employer, the   commission may extend the period for compliance with the minimum   wage requirements of this chapter for not more than 12 months if the   employer:                 (1)     requests the extension not later than March 1,   2030;                 (2)     has demonstrated to the commission that an   extension would be in the best interest of the employer's current   workers with disabilities; and                 (3)     has worked with the commission to develop a   transition plan for the payment of at least the federal minimum wage   to workers with disabilities.           (b)     The commission shall make a decision on a request for an   extension under Subsection (a) not later than May 1, 2030.           (c)     The commission may not grant more than one extension to   an employer.           Sec.   62.256.     EXPIRATION.   This subchapter expires September   1, 2031.          SECTION 5.  Effective September 1, 2030, Section 201.067(b),   Labor Code, is amended to read as follows:          (b)  Notwithstanding Subsection (a)(1), in this subtitle   "employment" includes service performed by an individual whose   earning capacity is impaired by age, physical impairment,   developmental disability, mental illness, or intellectual   disability or injury[ , other than an individual compensated as   provided by Section 62.057, ] and who, after training, is working   for a sheltered workshop or other facility operated by a charitable   organization:                (1)  temporarily while awaiting placement in a position   of employment in the competitive labor market; or                (2)  permanently because the individual is unable to   compete in the competitive labor market.          SECTION 6.  This Act takes effect September 1, 2025.