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By Jennifer Uranga, Partner, Gem Ag Professionals
The H-2A temporary agricultural workers program may not be perfect, but it’s hard to argue that it’s not popular. The number of growers employing the program continues to grow despite its increasing costs and an ongoing push for a better system.
On Dec. 22, 2022, the U.S. Department of Labor released the Adverse Effect Wage Rate (AEWR) for 2023, which took effect on Jan. 2 (Fig. 1). The AEWR is the hourly rate for H-2A workers or those in corresponding work, defined as work done by those who are not H-2A workers but are doing the same or “like” work that is listed on an approved job order, or any agricultural work performed by H-2A workers during the period of the job order.
The average 2023 AEWR is $16.13, up from $15.56 in 2022. The top five H-2A employment states and their AEWR (non-range occupations) increases for 2023 are:
- Florida: $14.33, up 15 percent
- California: $18.65, up 7 percent
- Georgia: $13.67, up 14 percent
- Washington: $17.97, up 3 percent
- North Carolina: $14.91, up 5 percent
The Department of Labor also recently released fiscal year 2022 certification numbers. The H-2A program saw a 17 percent increase over fiscal year 2021 in certifications.
Congressional Efforts
The program continues to grow exponentially while there is still no consensus in Congress to help farmers find long-term relief from labor shortages.
The recent Farm Workforce Modernization Act did not pass the Senate, and advocates for ag labor and immigration reform had been trying to find some common ground and compromise.
Another ag labor reform bill proposed by Sen. Michael Bennett had hoped to find bi-partisan support and did not make it in the omnibus spending bill. The Affordable and Secure Food Act would have helped year-round producers like dairy and meat processors bring in foreign workers on the H-2A program and provide a pathway to citizenship to those agricultural workers already in the U.S.
Both bills have had bi-partisan support but have been unable to move forward. The failure of these bills has producers questioning if they will ever see a solution at a time when the price of inputs continues to climb and the on-farm labor shortage continues to worsen.
Program Considerations
While many have called for reform of the current H-2A program, the program is working for an ever-increasing number of farms. Currently, there is no “cap” on H-2A visa numbers, unlike H-2B and other visa programs. The government agencies involved in the H-2A certification and visa process have improved processing times and listened to feedback from stakeholders to make the application and certification process more user-friendly while keeping up with increasing application numbers.
Because the H-2A program is seasonal in nature, deadlines and timeliness are important. H-2A applications must be submitted to the Department of Labor 60-75 days in advance.
One of the biggest challenges is finding available and affordable housing that meets state and federal housing requirements for farmworkers, especially during the recent housing market boom. H-2A housing must pass inspection by state agencies before job order certification, which is typically 30 days before the start date of the job order or the date the employer needs the worker to begin.
Proper planning is a must to have workers arrive at the farm on time. Most farms or ag businesses that use the program use an agent or attorney to navigate the application process. According to the USDA, 21 percent use an agriculture association, and only 15 percent of employers file their own applications (Fig. 2). The H-2A program has over 200 rules and regulations, and that number is not getting any smaller. While the program may seem daunting and complex, having a reliable, seasonal workforce has been an important asset for U.S. farms. Finding a reliable partner and advocate to assist in the application process is a vital part of having a successful H-2A program for your farm.
