Labor Secretary Discusses H2A Program Costs and Farmer Concerns

H2A Program and Farmer Costs

• ⚠️ The adverse effect wage rate (AEWR) for H2A workers has more than doubled over two decades, making agricultural guest labor unaffordable for employers.
• 📈 Skyrocketing costs for H2A labor, energy, fertilizer, transportation, and housing are compounding financial burdens for farmers and ranchers.
• 💡 There are bipartisan discussions in Congress to freeze the adverse effect wage rate.

Department of Labor's Role and Reforms

• 🎯 The Department of Labor must ensure H2A workers do not adversely affect domestic workers, but the current system is seen as unsustainable.
• 🔄 The Labor Secretary acknowledges the need for reforms to modernize and improve the AEWR and H2A program, consistent with legal authority.
• 🤝 The department is working with Homeland Security and State Department to balance the need for foreign labor with protecting American workers.

Addressing Local Workforce Needs

• 🗺️ The department recognizes that a one-size-fits-all approach to workforce needs no longer works, especially for seasonal employment.
• 📊 The expansion of visa programs like H2A and H2B is due to the inability to always find domestic workforce.
• 🧑‍💼 The Labor Secretary is directing the department to establish a specific sub-agency to focus on H programs.

Wage Rate Determination and Compliance

• ⚖️ The Labor Department works with state partners to enforce wage rate compliance for agricultural employment.
• 🗣️ Rulemaking and regulatory processes will involve outreach to stakeholders to determine what is best for the American economy.