Fair Wages for Incarcerated Workers Act of 2026

This bill expands federal labor protections to incarcerated workers by explicitly including them under the Fair Labor Standards Act, regardless of whether they work in publicly or privately operated correctional facilities. It defines these workers as individuals performing labor within prison programs, work release initiatives, or facility operations, and clarifies that they are employed by either the public agency or the private contractor running the facility. A key provision allows employers to deduct the cost of board, lodging, and certain court-imposed fees from an incarcerated worker's wages without counting these deductions against minimum wage requirements. The legislation also specifies which fees qualify for deduction, such as court surcharges and filing costs, while explicitly excluding payments for child support, victim compensation, civil judgments, and criminal fines.