HB Threads, an Easterseals-run apparel shop that grew out of the old Harry’s Buttons program, is being held up across Chicago as a practical test case for how employers can adapt as Illinois phases out subminimum wages for workers with disabilities. The shop already pays every associate at least Chicago’s $15 hourly minimum and produces buttons, magnets, and apparel for local clients. State officials and providers are pointing to HB Threads as an example of how sheltered-workshop origins can be converted into market-facing operations that pay people fairly for their work.
What the Dignity in Pay Act Requires
The Dignity in Pay Act, signed by Gov. J.B. Pritzker, directs Illinois agencies to phase out Section 14(c) subminimum wage authorizations and ensure people with disabilities earn at least the applicable minimum wage by December 31, 2029. The law sets up a multi-year plan, a transition grant program, and task-force oversight to keep workers employed while wages go up. According to the Illinois Council on Developmental Disabilities, the task force must submit a phase-out plan and report on progress to the legislature.
How HB Threads Works
HB Threads grew out of a button-making project started by the Engnell family and now operates as a social enterprise of Easterseals that makes custom buttons, magnets, and apparel. The organization says it employs a largely neurodivergent crew in a mix of production, design, and shipping roles while paying above minimum wage. As detailed by HB Threads, that mix of market contracts and supported roles is central to keeping the shop sustainable.
Why Businesses Are Watching
Lawmakers and employers say HB Threads shows how programs long associated with low pay can pivot to competitive work. During a visit, HB Threads director Korrey Kooistra told Axios that all associates make at least Chicago’s $15 hourly minimum. Axios noted that the shop has landed local clients, including the Chicago White Sox, Huntington Bank, and the Rockford IceHogs, partnerships that advocates say can help normalize hiring people with disabilities in mainstream supply chains.
State Support For The Transition
Illinois has created a transition program, technical assistance, and higher supported-employment rates to help providers move away from subminimum wage models while preserving jobs. The Council’s implementation materials describe grant criteria, a multi-year phase-out plan, and annual reporting requirements meant to track outcomes. Per the Illinois Council on Developmental Disabilities, the goal is to give providers concrete steps and funding to adapt their operations.
Panel And Practical Advice
Easterseals is hosting a panel next Tuesday in the Loop that will bring together policymakers, employers, and HB Threads associates to talk through practical next steps for inclusive hiring. The event listing shows State Rep. Theresa Mah and HB Threads associate Carter Sanders joining the discussion at Impact House, with Axios’ Carrie Shepherd moderating. Details and registration are posted on Eventbrite.
Legal And Policy Takeaways
The statute directs the Illinois Department of Human Services and Department of Labor to coordinate the phase-out, create guardrails that protect benefit eligibility, and award transition grants to eligible providers. Employers that hold or have applied for 14(c) certificates will need to document transition plans and participate in the task force’s reporting framework. The full bill text and statutory language are available from the Illinois General Assembly, which spells out task-force duties and grant authority in detail.
HB Threads does not erase the challenges that many workshops face in converting operations, but advocates say it offers a replicable template: stable market contracts, integrated roles, and a commitment to paying living wages. “No longer will individuals who have untapped potential be subject to a one-size-fits-all assumption and unfair treatments just because of a disability,” Rep. Theresa Mah said, as reported by Axios. For Chicago employers and nonprofits, the coming months will test whether state grants and peer models are enough to make the switch without losing jobs.
