What type of organizations can pay disabled workers less than the federal minimum wage according to the Fair Labor Standards Act?

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The Fair Labor Standards Act (FLSA) allows certain organizations to pay disabled workers less than the federal minimum wage if they hold "special wage certificates." These certificates are issued by the U.S. Department of Labor and are specifically designed to ensure that individuals with disabilities can be employed in integrated settings. The underlying principle is that these workers are provided employment opportunities that might not otherwise be available to them, with wages based on their productivity compared to that of non-disabled peers.

Entities with special wage certificates can include non-profit organizations, community rehabilitation programs, and businesses that exist to employ individuals with disabilities. This provision is intended to support the employment of people with disabilities while also reflecting their individual productivity. In contrast, the other options do not accurately capture the specific conditions under which wage exceptions are made for disabled workers under the FLSA.

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