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Institutionalization Rates in States That Extend Minimum Wage and Overtime Protection to Home Care Workers

Brief Wages & Benefits
January 17, 2013

This brief examines data indicating that institutionalization rates are not higher in the 15 states that extend minimum wage and overtime protections to home care workers.

Key Takeaways

Concern has been expressed that extending federal workforce protections under the Fair Labor Standards Act will result in higher rates of “institutionalization” for people with disabilities.
In 2010, approximately one half of one percent of the total population in each state resided in a nursing home regardless of whether the state extended workforce protections to home care and personal assistance aides.
The 15 states that extend basic workforce protections to home care workers do not exhibit higher rates of institutionalization than states that do not offer such protections.
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