Ag News

AG stakeholders demand USDA transparency on wage determination

The Georgia Fruit and Vegetable Growers Association (GFVGA) and the North Carolina Sweetpotato Commission (NCSC) have assembled a coalition of groups with the unified mission of filing a Freedom of Information Act (FOIA) request with the USDA seeking detailed information about how the USDA calculates the Adverse Effect Wage Rate (AEWR), which determines minimum wages under the H-2A agricultural guest-worker program.

The coalition, which includes Georgia Farm Bureau, consists of 30 organizations from five states and two national organizations, representing a diverse collection of crops including eight advocacy groups.

Backing this request is forthcoming research by Dr. Blake Brown, Hugh C. Kiger Professor Emeritus at North Carolina State University. Brown’s work is funded by the North Carolina Chamber & numerous grower organizations. His research indicates that the AEWR calculations have damaging consequences for farmers, consumers, and American workers. This research will be available in mid-June.

The coalition warns that the USDA’s current AEWR methodology contributes to a self-compounding wage inflation cycle, undermining the economic viability of U.S. agriculture. This poses growing risks to national food security, increases American dependence on imported food, and threatens the stability of rural communities across the country.

“The current trajectory of AEWR increases is simply unsustainable for specialty crop growers in Georgia and across the Southeast,” said Chris Butts, executive vice president of GFVGA. “Without immediate legislative reform and greater transparency in how these wage rates are set, we risk losing farms, jobs, and our ability to feed the nation. We must act now to ensure a fair, data-driven wage process that protects both our farmworkers and the future of U.S. agriculture.”

Additionally, data reflects that due to higher prices, American consumers are eating fewer fruits and vegetables, leading to increased healthcare costs because of a poorly balanced diet. Furthermore, the USDA provided data in 2023 that the United States is now a net importer of food. While this contributes to several problems for our country, most alarmingly it leaves the U.S. even more vulnerable and exposed when it comes to national security.

“The sharp increase in AEWR rates is putting North Carolina sweet potato farms – and the entire state’s agricultural economy – at risk,” said Michelle Grainger, executive director of NCSC. “Sweet potatoes are a labor-intensive crop and due to skin sensitivity, sweet potatoes must be hand harvested. As labor costs surge beyond inflation, many growers are facing reduced access to essential workers, threatening a substantial reduction in acres produced, timely harvests and ultimately leading to significant revenue losses. If left unaddressed, this wage pressure could push more farms out of business, weaken our rural communities, and undermine the sustainability of North Carolina's vital produce sector while also further distancing consumers from the producers and their healthy crops that aid in an affordable and nutritionally balanced diet.”

Each participating organization is engaging its stakeholders, press contacts, and state congressional delegations to advocate for an accountable, fair, and economically sustainable wage-setting process that promotes the sustainability and future of American agriculture.

The coalition is encouraging organizations and stakeholders who are facing similar undue burdens from rapidly rising AEWR rates to consider sharing their experiences and concerns with local and state representatives. A unified understanding of the impact across agricultural sectors will help inform a more balanced and transparent wage-setting process, one that supports both the fair treatment of farmworkers and the continued viability of U.S. farms. Addressing this issue collaboratively is essential to sustaining rural economies, safeguarding national food security, and ensuring the long-term health of American agriculture.

The 30 organizations that formed the coalition are Alabama Farmers Federation, Alabama Fruit and Vegetable Growers Association, Alabama Nursery and Landscape Association, Blue Ridge Apple Growers Association, Georgia Agribusiness Council, Georgia Berry Exchange, Georgia Farm Bureau, Georgia Fruit & Vegetable Growers Association, Georgia Green Industry Association, Georgia Peach Council, Georgia Pecan Growers Association, Georgia Watermelon Association, International Fresh Produce Association, National Council of Agricultural Employers, North Carolina Apple Growers Association, North Carolina Chamber, North Carolina Christmas Tree Association, North Carolina Farm Bureau, North Carolina Growers Association, North Carolina Nursery & Landscape Association, North Carolina Strawberry Association, North Carolina Sweetpotato Commission, North Carolina Tomato Growers Association, North Carolina Vegetable Growers Association, North Carolina Watermelon Association, Michigan Asparagus Association, South Carolina Farm Bureau, South Carolina Peach Council, South Carolina Small Fruit Growers Association, Tobacco Growers Association of North Carolina.

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