The Department of Agriculture recently released the Farm Labor Survey (FLS) results for 2024. The FLS is what the Department of Labor uses to set the Adverse Effect Wage Rate (AEWR) for H-2A workers. The law says that use of the H-2A program cannot have an “adverse effect” on domestic workers’ wages. The DoL has decided (it’s not codified) that the floor for wages is the average farm labor wage as indicated in the FLS.

NASS surveys farmers all year at multiple points during the year. The survey has been done since well before the H-2A program and has not formal ties to the program. The survey reflects what farmers are paying. It doesn’t discriminate between producers that have H-2A workers or not but it has become painfully apparent that there is a ratcheting effect that happens as more farmers are forced to use the program. Non program users have to compete and therefore must pay more than the H-2A to keep their employees. It’s a self-fulfilling increasing system.

The H-2A wages will adjust later this month. It doesn’t matter what your contract says if it is set at the current AEWR it will go up when it gets published in the Federal Register. This includes your domestic employees in corresponding employment. We should get a couple of days notice but unlike in previous years it may be in effect immediately upon publication. The 2024 and 2025(expected) Wages are below.

Some states did go down. Michigan, Minn and Wisconsin actually went down by almost 2%. Their rates are currently $18.50 and will be dropping to $18.15 but with producers that have workers now or contracts that are approved for 2025, they will be paying the higher rate. You can be forced to go up on your wage but you can’t reduce it lower than your contract.

We expect these rates to be published near the end of December but they can technically be published any time before January 1 and remember they will likely take effect immediately upon publication.

DSF