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Thursday, November 7, 2024

Sens. Rick Scott & Mike Crapo Urge Freeze to Ag Wage Rate that Could Threaten America’s Agriculture Independence

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Senator Rick Scott | Senator Rick Scott Official Photo

Senator Rick Scott | Senator Rick Scott Official Photo

Senators Rick Scott and Mike Crapo, along with a group of their Senate colleagues, have called for a freeze to the Adverse Effect Wage Rate (AEWR) in order to protect America's agricultural independence. In a letter to Senate leadership, the Senators expressed their concerns about the increasing labor costs for agriculture producers, which they deem unsustainable.

"The increasing cost of labor for agriculture producers is unsustainable," the Senators wrote. They highlighted that the national average AEWR is set to be $17.55 this year, marking a 5.6 percent increase from the previous year. The Senators emphasized that such continuous increases in AEWR, along with rising input costs and other expenses, could threaten the foundation of America's food production model.

The American Farm Bureau Federation supports the Senators' efforts to address the challenges faced by farmers. John Walt Boatright, Director of Government Affairs at American Farm Bureau, emphasized the need to modernize the farmworker system to alleviate the labor crisis experienced by farmers.

The Senators pointed out that the recent increase in AEWR, which took effect on January 1, 2024, poses a significant challenge to small and family-operated farms. These farms are already struggling to afford labor, and unsustainable increases in AEWR could further jeopardize their operations. This, in turn, could impact national food security and potentially lead to a shift in production outside the United States.

Senator Crapo, a co-sponsor of the Supporting Farm Operations Act, is advocating for a temporary freeze of the AEWR to the December 2023 rate until the end of the 2025 growing season. This measure aims to provide short-term relief to farmers and ranchers facing financial constraints due to escalating labor costs.

In conclusion, the Senators and their colleagues are urging immediate action to address the challenges posed by the rising AEWR, emphasizing the need to support farmers and ensure the continued production of food for families across the country.

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