WASHINGTON— U.S. Senator Kevin Cramer (R-ND) joined Senators Tim Scott (R-S.C) and Ted Budd (R-NC) in introducing a resolution of disapproval under the Congressional Review Act to overturn a misguided rule from the Department of Labor (DOL) which would drastically increase costs for American farmers and their families.

“America’s farmers work day and night to feed our nation and the world, but this rule undermines their competitiveness and disproportionally impacts small farmers by increasing their labor costs,” said Senator Cramer. “It is already difficult to find workers. We should not be placing more rules and regulations on this industry, especially when inflation is high and prices keep increasing.”

Senators Cramer, Scott, and Budd were joined by Republican Leader Mitch McConnell (R-KY) and Senators Tom Tillis (R-NC), Lindsey Graham (R-SC), Roger Wicker (R-MS), John Boozman (R-AR), Mike Crapo (R-ID), Jim Risch (R-ID), Pete Ricketts (R-NE), Roger Marshall (R-KS), Bill Cassidy (R-LA), Cindy Hyde-Smith (R-MS), Cynthia Lummis (R-WY), James Lankford (R-OK), Mike Braun (R-IN), Rick Scott (R-FL), Deb Fischer (R-NE), John Kennedy (R-LA), Joni Ernst (R-IA), John Barrasso (R-WY), Bill Hagerty (R-TN), Marsha Blackburn (R-TN), Katie Britt (R-AL), Tommy Tuberville (R-AL), and John Hoeven (R-ND). 

U.S. Congressmen Ralph Norman (R-SC) and Agriculture Chairman Glenn “GT” Thompson (R-PA) introduced a companion resolution in the House of Representatives. 

Background:  

Since 1987, the DOL’s H-2A visa program has filled gaps in our country’s farm labor market through the employment of seasonal labor, which is essential in keeping American farms sufficiently staffed for harvesting season. 

According to the American Farm Bureau Federation, labor already accounts for nearly 40% of total production costs on some farms. This new rule from the DOL raises that cost nationwide and creates more complexity for employers who rely on the H-2A program. 

Summary of the Rule: 

  • The Adverse Effect Wage Rate (AEWR) is the minimum amount of payment that DOL requires employers to offer to H-2A visa agricultural workers. 
  • Under the new DOL rule, several job types on farms will have separate and higher AEWRs, inflating H-2A wage rates and creating additional burdens for all H-2A farmers who now have to separately track every employee’s activity on their farms to avoid violating the new rule.
  • DOL ignored challenges within the agricultural industry and dismissed producers’ concerns by crafting this new AEWR procedure.

Click here for resolution text.