SB55: SB55 "Dignity and Pay Act"; enact

Under a federal law (29 U.S.C. Section 214(c)), the U.S. Department of Labor can issue certificates letting certain employers pay workers with disabilities less than the federal minimum wage. Georgia law has also allowed the state labor commissioner to grant exemptions letting some employers pay below the state minimum wage to people with disabilities and others who cannot otherwise compete in the labor market. This bill removes the commissioner's authority to grant those state exemptions, though it keeps the requirement to maintain a public record of existing ones. It also bars employers from using the federal subminimum wage certificate for workers with disabilities, with a phase-out for employers who already held a certificate by July 1, 2025: they must pay at least half the federal minimum wage from July 2026 through June 2027, and the full federal minimum wage from July 2027 onward. The law would take effect July 1, 2025.

• Repeals the Georgia labor commissioner's authority to grant new exemptions letting employers pay people with disabilities below the state minimum wage, turning that Code section into a reserved placeholder.
• Bans employers from using a federal subminimum wage certificate (issued under 29 U.S.C. Section 214(c)) to pay workers with disabilities less than the federal minimum wage.
• Creates a phase-in exception for employers who already held such a certificate by July 1, 2025, letting them keep using it temporarily.
• Requires those grandfathered employers to pay at least half the federal minimum wage between July 1, 2026 and June 30, 2027.
• Requires those employers to stop using the certificate entirely and pay the full federal minimum wage starting July 1, 2027.
• Sets the Act's effective date as July 1, 2025 and repeals any conflicting Georgia laws.

Employers in Georgia who currently hold federal subminimum wage certificates for workers with disabilities, and the workers with disabilities they employ under those certificates. It also affects the state Commissioner of Labor's regulatory authority over minimum wage exemptions.

Workers with disabilities currently paid below minimum wage under federal certificates would see their pay rise in stages, reaching at least the full federal minimum wage by mid-2027. Employers relying on subminimum wage arrangements would need to adjust payroll and business practices over roughly two years.

• Section 1 names the law the "Dignity and Pay Act."
• Section 2 revises O.C.G.A. § 34-4-4 to remove the commissioner of labor's authority to grant new subminimum wage exemptions for people with disabilities, leaving the section reserved.
• Section 3 adds new language to O.C.G.A. § 34-6A-4 barring employers from using federal 29 U.S.C. § 214(c) certificates to pay workers with disabilities less than the federal minimum wage.
• Section 3 also creates a grandfather clause for employers with a certificate issued on or before July 1, 2025, requiring at least half the federal minimum wage from July 2026 to June 2027 and full compliance from July 2027 onward.
• Section 4 sets the effective date as July 1, 2025.
• Section 5 repeals any conflicting Georgia laws.

1. 2025-05-01Effective Date 2025-07-01
2. 2025-05-01Act 46
3. 2025-05-01Senate Date Signed by Governor (Senate)
4. 2025-04-07Senate Sent to Governor (Senate)
5. 2025-03-18House Passed/Adopted (House)
6. 2025-03-18House Third Readers (House)
7. 2025-03-13House Committee Favorably Reported (House)
8. 2025-03-06House Second Readers (House)

• Billy Hickman (R, SD-004)Primary sponsor
• Sonya Halpern (D, SD-039)
• Jason Esteves (D, SD-035)
• Shawn Still (R, SD-048)
• Drew Echols (R, SD-049)
• Elena Parent (D, SD-044)
• Clint Dixon (R, SD-045)
• Sharon Cooper (R, HD-045)

1. PassedSenate voteMarch 3, 2025

   51 yea, 3 nay (1 not voting, 1 absent)

   Passage: Senate Vote #123

2. PassedHouse voteMarch 18, 2025

   163 yea, 2 nay (9 not voting, 6 absent)

   Passage: House Vote #280

• disability employment
• minimum wage
• labor law
• workers with disabilities