Genesee News

WASHINGTON—Congressman Dan Kildee (MI-08) today introduced new bipartisan legislation, supported by Republicans and Democrats, to provide relief for Michigan farmers.

Michigan farmers rely on the H-2A visa program to hire temporary workers. To participate in the program, farmers are required to offer workers a wage known as the Adverse Effect Wage Rate (AEWR). In 2023, Michigan’s AEWR increased by 12.8% year-over-year, the highest-ever annual increase. Such a sharp year-over-year increase, coupled with labor shortages and increased supply chain costs, has caused challenges for many small family farmers. Failing to address AEWR will also mean that American farmers will be unable to compete with foreign countries.

Congressman Kildee’s Farm Operations Support Act would temporarily freeze AEWR increases for seasonal farm workers until the end of 2023, to give Congress more time to address the issue. While Congressman Kildee supported the Farm Workforce Modernization Act last Congress to reform this issue and our outdated immigration visa system, the bill was not taken up by the U.S. Senate.

“My bipartisan bill will provide relief to Michigan farmers as Congress works on a long-term, sustainable solution for our agricultural community,” said Congressman Kildee. “I will continue to work with Republicans and Democrats to support our agricultural community and farmers in Michigan.”

According to the U.S. Department of Agriculture, more than more than half of the fresh fruit, and a third of the fresh vegetables, consumed in America are produced overseas. Congressman Kildee’s legislation would ensure our domestic farmers remain competitive and refrain from being dependent on other countries.

“The Adverse Effect Wage Rate rose an astonishing 12.8% since last year, not including the costs of housing and transportation farmers provide workers. If Michigan farmers are to remain competitive with foreign competitors, we need a predictable and stable wage rate for the H-2A visa program. This legislation is a common-sense approach to provide a pause and allow Congress time to develop a long-term solution for our farming families. We applaud Congressman Kildee and his colleagues for their leadership on this critical issue,” said John Kran, National Legislative Counsel, Michigan Farm Bureau.

“This common-sense, bipartisan proposal helps ensure stability for Michigan farmers, and by extension benefits the strength of our Michigan agricultural economy. We appreciate Congressman Dan Kildee for leading the way on this bipartisan solution for agriculture, and we thank members of the Michigan delegation who have come together to support it,” said Chuck Lippstreu, President, Michigan Agri-Business Association.

“Planting, harvesting, and packing of potatoes out of storage requires highly skilled farm workers who come to the industry through the H-2A program. The continuing spike in AEWR costs are forcing some growers to choose between being able to continue to plant specialty crops or switch to row crops. In the last 5 years we have lost considerable market share in areas where that transition has taken place. The Michigan Potato Industry is grateful to the effort being led by Congressman Kildee as a much-needed pause to be able to determine a long-term solution that provides a guest worker program that protects works while keeping farmers competitive,” said Kelly Turner, Executive Director, Michigan Potato Council.

“On behalf of the Michigan Nursery & Landscape Association we support and applaud Congressman Kildee and his colleagues for legislation to revert the Adverse Effect Wage Rate to the 2022 rate. Our family-owned nursery and greenhouse growers rely on the H-2A program for the skilled labor needed to grow and get our plant material to market. With the historic increases in input costs, on top of the continued crisis-level shortage of domestic labor, this year’s Adverse Effect Wage Rate increase has created additional hardships for our growers. We ask for this pause on the rate increase and for long-term solutions that will keep Michigan’s growers in business,” said Amy Upton, Executive Director, Michigan Nursery and Landscape Association.

“The harvest of Michigan Apples requires farm worker hand labor. More than 60 percent of the total cost of production can be attributed to labor.  Recent changes have significantly increased the cost of the H-2A program and added additional bureaucracy and administrative burdens. We thank Congressman Kildee for his effort to pause the 2023 changes to AEWR, and prevent irreparable harm to the Michigan Apple industry and other specialty crops while lawmakers seek a long-term solution that protects our farmers and our food supply. The Michigan Apple industry appreciates this bipartisan effort to safeguard Michigan’s diverse agriculture industry,” said Diane Smith, Executive Director, Michigan Apple Committee.

“More pickling cucumbers are grown in Michigan than any other state. The H-2A visa program provides valuable workers, but the hourly rate increases are not sustainable. Pickle Packers International appreciates Congressman Kildee’s leadership on this issue,” said John H. Cox, Executive Vice President, Pickle Packers International. 

“Michigan produces 70-75% of the total tart cherry production in the United States, however our growers are at risk due to unfair trade practices. Many cherry growers employ H-2A workers, and it has become a tremendous burden to utilize the program with the astonishing hourly rate increases.  The increases have contributed to the price of their fruit to fall below the cost of production and this latest spike in the hourly rate has made it extremely difficult to compete in a global world market.  We are thankful for the efforts of Congressman Kildee and his colleagues to revert the Adverse Effect Wage Rate to the 2022 rate and provide our growers some much-needed relief during these challenging times,” said Julie Gordon, President, Cherry Marketing Institute.

“Michigan vegetable growers are grateful Congressman Kildee is leading this commonsense bill. The H-2A visa program has brought needed structure and support to farm labor. Many vegetable growers have great things to say about the H-2A visa guest workers. However, the AEWR and its increases are not sustainable,” said Greg Bird, Executive Director, Michigan Vegetable Council.

“Michigan’s asparagus growers appreciate that Congressman Kildee and his colleagues are working together in this bipartisan fashion. This bill is an important building block to address unsustainable labor cost increases that threaten the viability of U.S.-grown asparagus,” said Jamie Clover Adams, CEO, Michigan Asparagus Association. 

Congressman Kildee remains focused on advocating for Michigan farmers. Last week, he introduced legislation to protect U.S. agriculture from foreign pests and diseases. In December, Kildee led a bipartisan letter to the U.S. Trade Representative to raise concerns about the Mexican government’s failure to honor free trade commitments, jeopardizing Michigan farmers. Kildee recently met with Mexican President Andrés Manuel López Obrador and raised this issue during their meeting. 

Original source can be found here.