H2A increases

H2A increases

David Sparks Ph.D.
David Sparks Ph.D.
H2A wages up in ’21

As if farmers and ranchers aren’t already under enough financial pressure what with the pandemic, immigration regulations and the lot, they now must increase the laborers’ wages significantly. Farmers must pay H-2A workers more in 2021… that according to a new report from the Department of Agriculture.

The Farm Labor Survey sets the minimum wage farmers must pay H-2A workers. It’s Known as the Adverse Effect Wage Rate, The Farm Bureaus Braden Jensen follows H2A issues:

"So what we've heard is that AEWR for 2021 will be $14.55 that's up from last year's $13.62 cents that are approximately a seven-percent and a dollar increase. Obviously, this will be a significant increase for our producers as far as the cost of production, the labor aspect. We are still on the tail-end of this pandemic. We are still seeing the markets settle. It will be interesting to see how it affects our producers going forward," said Jensen.

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