Fair Wages for Incarcerated Workers Act of 2026
- Sponsor
- Rep. Cleaver, Emanuel [D-MO-5]
- Committees
- Education and Workforce Committee (primary)
- Last action
- Mar 19, 2026
Bottom line
The bill mandates federal minimum wage and FLSA protections for all incarcerated workers, significantly altering the economic landscape of prison labor and increasing costs for correctional facilities.
What it actually does
This bill extends the coverage of the Fair Labor Standards Act (FLSA) to include incarcerated workers, ensuring they receive federal minimum wage and overtime protections. It explicitly defines 'incarcerated worker' and prohibits correctional facilities from deducting costs for board, lodging, other facilities, and most court-imposed fees from their wages, thereby increasing their net earnings.
Proponents argue
Supporters argue this bill addresses a long-standing loophole in labor law that permits the exploitation of incarcerated individuals, often for extremely low or no wages. They contend it promotes fair labor practices, reduces recidivism by providing marketable skills and fair compensation, and aligns with fundamental human rights principles by treating incarcerated individuals as workers deserving of basic protections.
Opponents contend
Opponents might argue that applying FLSA to incarcerated workers would impose significant financial burdens on correctional facilities and state budgets, potentially leading to the reduction or elimination of valuable prison work programs. Concerns could also be raised about the administrative complexity of implementation and the potential negative impact on industries that rely on current prison labor models.
The bill is short and relatively straightforward, allowing for a quick and comprehensive understanding of its core provisions.
Section 2(1)(A), amending 29 U.S.C. 203(e)(2)
Inclusion of Public Agency Incarcerated Workers as Employees
This provision amends the Fair Labor Standards Act (FLSA) to explicitly include individuals employed as incarcerated workers by public agencies operating correctional facilities within the definition of 'employee.' This means that incarcerated individuals working for state or federal prisons, for example, would be covered by FLSA protections, including minimum wage and overtime, for the first time.
Supporters argue
Supporters argue this closes a major loophole that has allowed public agencies to exploit incarcerated labor without fair compensation, ensuring basic labor rights for all workers, regardless of their incarceration status, and promoting rehabilitation through fair pay.
Critics contend
Critics may argue that this provision would drastically increase operational costs for public correctional facilities, potentially leading to the reduction or elimination of rehabilitative work programs due to budget constraints or a shift to automation.
Tradeoffs
This provision balances the goal of ensuring fair labor practices and human rights for incarcerated individuals against the increased financial burden on public correctional systems and, ultimately, taxpayers.
Section 2(1)(B), adding 29 U.S.C. 203(e)(6)
Inclusion of Private Entity Incarcerated Workers as Employees
This provision further expands the definition of 'employee' under the FLSA to include incarcerated individuals working for private entities that operate correctional facilities under contract with public agencies. This ensures that private prison operators and companies utilizing prison labor in private facilities are also subject to FLSA requirements for their incarcerated workforce, preventing exploitation in the private sector.
Section 2(2), amending 29 U.S.C. 203(m)(1)
Prohibition of Deductions for Board, Lodging, and Court-Imposed Fees
This provision specifies that for incarcerated workers, the cost of board, lodging, other facilities, and any court-imposed fees cannot be included in the wage paid. This means that even if incarcerated workers are paid minimum wage, facilities cannot deduct these costs from their pay, ensuring they receive the full wage amount and preventing facilities from circumventing the intent of fair wages.
Section 2(3), adding 29 U.S.C. 203(z), (aa), (bb)
Key Definitions for Incarcerated Workers and Court-Imposed Fees
This section introduces crucial definitions to clarify the bill's scope. 'Incarcerated worker' is broadly defined to include anyone incarcerated and performing work offered or required by the facility, encompassing various prison work programs like UNICOR and private entities. 'Correctional facility' is defined by reference to existing law. 'Court-imposed fee' is also broadly defined to include various criminal conviction-related fees (e.g., surcharges, administrative fees) but explicitly excludes child support, crime victim compensation, civil judgments, and criminal fines.