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Feds change H-2A worker rules again

By TIM THORNBERRY
Kentucky Correspondent

WASHINGTON, D.C. — For the last few years, one of the biggest issues facing many farmers was that of a solid labor force – or, to be more exact, the lack of it. For years, the industry has depended on foreign workers to fill those needs.

The federal H-2A guest worker program came into existence in 1986 and has served as the regulatory rule for bringing immigrant workers into the United States for agricultural purposes. The last administration made the first changes to the system seen in years, with some regulations enacted just before President George W. Bush left office. But the Obama administration has taken a step to reverse many of those 11th-hour changes, much to the delight of farm labor groups and the chagrin of agriculture groups such as the American Farm Bureau Federation (AFBF). U.S. Secretary of Labor Hilda L. Solis announced the new rule, which was published in the Feb. 12 edition of the Federal Register. According to the Department of Labor (DOL), the final rule is to strengthen worker protections for both U.S. and foreign workers and to ensure overall H-2A program integrity. The rule will be effective March 15.

“This new rule will make it possible for all workers who are working hard on American soil to receive fair pay, while at the same time expand opportunities for U.S. workers,” said Solis.

“The actions that we have taken through this rulemaking also will enable us to detect and remedy different forms of worker violations.”

AFBF President Bob Stallman doesn’t see it that way, however. In a statement issued by the organization, he voiced his disappointment in the reversal of the regulations, charging that the rule will not solve labor problems and fails farmers.

“This final H-2A rule will only compound existing labor shortages. It is not the program needed by America’s farmers and ranchers. By finalizing this rule, the administration has failed U.S. agricultural employers. Its claims of needed worker protections as justification for the new rule are unfounded and an affront to America’s farmers and ranchers,” Stallman wrote.

He also stated since there haven’t been enough legal workers in the U.S. to meet the demand of agricultural employers for several years, it is the responsibility of the administration and Congress to authorize a useful program that enables capable, dependable and willing employees to come to the U.S. temporarily to do the jobs that domestic workers don’t want.

The changes will address a number of issues, including reversing the way the Adverse Effect Wage Rate (AEWR) is determined, an action that will raise the wage, in some cases substantially.
Rick Alexander serves as director of the Agriculture Workforce Management Assoc., an organization that helps employers in Kentucky and other states navigate the contract process of bringing H-2A workers to their farms.

He said while the program can provide a stable, legal workforce for agriculture, changes could spell financial problems for producers already strapped for cash.

“One of the great things about the program is the employer brings back the same people every year so they get a trained crew and they stay on location, primarily,” said Alexander.

He also said in the year before the rule was changed by the Bush administration, the AEWR for Kentucky and Tennessee was $9.13 per hour. The Bush changes brought a different way of determining that wage, which saw it fall in this region to around $8 per hour. This newest regulation change will reverse that, bringing the AEWR back up.

“This new rule will change (AEWR) to $9.71, so that was a big change. The other is now you have to lengthen the time to take U.S. workers. The primary focus of this current rule change is to try and get U.S. workers to take these jobs,” he said.

In Kentucky, most of the H-2A workers are involved in tobacco production, a tough job and something the domestic workforce has typically shied away from, said Alexander.

“It’s hard work and I don’t think there is an employer  that wouldn’t take U.S. workers if they can find them and they would stay for the length of the contract,” he said.

Under the rules of the program, a worker – whether U.S. or immigrant – is obligated to stay for the duration of the contract but for domestic workers who are looking for full-time employment with benefits, the H-2A program doesn’t provide that.

The federal program currently brings in about 75,000 workers each year. That is far fewer than what is needed across the country for agriculture purposes, which means many migrant workers here are still here illegally, a situation that could remain – especially in light of the current state of the economy.

“The issue is the wage rate, and can you continue to stay in business,” said Alexander. “With a $1.70 per hour increase, there is going to be some people that will do two things: they will either drop out and quit farming or they are going to go back to illegal help.

“I think, from the ag community and employers, we all had the thought process that the $8 wage was probably too low.  But we also think the $9.71 is too high. We would love to have seen a happy medium.”

In addition to the wage, employers also have to pay worker fees in Mexico they haven’t had to pay in the past; about $400, according to Alexander.

Bruce Goldstein, executive director of Farmworker Justice, a national farm worker advocacy group based in Washington, D.C., applauded the action and noted in a statement on the group’s website that the rule change is a victory for farm workers.

 “The Bush administration’s changes gave agricultural employers access to cheap foreign labor with little government oversight,” Goldstein explained. “These new regulations restore the balance that the law requires. We commend Secretary Solis for spending her time and resources on helping the most vulnerable workers in the country.

“We look forward to working with the Department of Labor for additional reforms and improved enforcement of the protections to end longstanding abuses under the H-2A program.”

To view a fact sheet listing the major changes to the program, visit www.dol.gov/opa/media/press/eta/eta20100198-fs.htm

3/3/2010