Jun 10, 2025
New multistate coalition calls for AEWR calculation transparency

A new five-state, 30-organization coalition is calling for transparency on how the Adverse Effect Wage Rate (AEWR) is calculated, arguing that current rate increases are unsustainable for specialty crop growers.

The Georgia Fruit and Vegetable Growers Association (GFVGA) and the North Carolina Sweetpotato Commission (NCSC) assembled the coalition, which includes the International Fresh Produce Association and the National Council of Agricultural Employers (NCAE).

The coalition will file a Freedom of Information Act request with the USDA, according to a June 10 news release.

The AEWR, determined by the Department of Labor using data from the USDA’s Farm Labor Survey and the U.S. Bureau of Labor Statistics’ Occupational Employment and Wage Statistics program, determines minimum wages under the H-2A agricultural guest worker program.

Farm workers harvest crops in a sunny field — Team of gardeners picking mizuna at leafy vegetables farm, seasonal horticulture

In the release, the coalition said that the USDA’s current AEWR methodology contributes to a self-compounding wage inflation cycle, undermining the economic viability of U.S. agriculture. This poses growing risks to national food security, increases American dependence on imported food, and threatens the stability of rural communities across the country, according to the coalition.

“The current trajectory of AEWR increases is simply unsustainable for specialty crop growers in Georgia and across the Southeast,” Chris Butts, GFVGA executive vice president, said in the release. “Without immediate legislative reform and greater transparency in how these wage rates are set, we risk losing farms, jobs and our ability to feed the nation. We must act now to ensure a fair, data-driven wage process that protects both our farmworkers and the future of U.S. agriculture.”

Earlier this month, a federal district judge set a date to hear oral arguments in an ongoing court case challenging the legality of AEWR. Oral arguments on the NCAE’s motion for a summary judgment on the AEWR rule are scheduled for July 1 in a Tampa, Florida federal district court.

In late May, Michigan Rep. Bill Huizenga was joined by over 114 of his colleagues on a letter to House Appropriations leaders requesting an H-2A visa guest worker wage freeze in fiscal year 2026 appropriations legislation..

“This simple policy fix would lower input costs for the agricultural community and save family farms across the nation,” Huizenga in a statement.

The national AEWR average is currently $18.12 an hour (a 3% increase over 2024), with labor accounting for over 40% of cash expenses for specialty crop growers, according to a statement from the National Potato Council (NPC).

“The H-2A labor rates, which have more than doubled nationally over the past two decades, are becoming increasingly unaffordable for U.S. potato and specialty crop growers,” Dean Gibson, NPC vice president of legislative affairs, said. “This rising cost, coupled with already high input costs, transportation, and housing expenses, puts U.S. producers at a significant disadvantage compared to our international competitors.”

According to the coalition news release, higher prices are causing American consumers to eat less fruits and vegetables.

“The sharp increase in AEWR rates is putting North Carolina sweet potato farms — and the entire state’s agricultural economy — at risk,” said Michelle Grainger, NCSC executive director. “Sweet potatoes are a labor-intensive crop, and due to skin sensitivity, sweet potatoes must be hand-harvested. As labor costs surge beyond inflation, many growers are facing reduced access to essential workers, threatening a substantial reduction in acres produced, timely harvests and ultimately leading to significant revenue losses.

“If left unaddressed, this wage pressure could push more farms out of business, weaken our rural communities and undermine the sustainability of North Carolina’s vital produce sector while also further distancing consumers from the producers and their healthy crops that aid in an affordable and nutritionally balanced diet.”

Coalition organizations are engaging stakeholders, the media and state congressional delegations and encouraging those affected by AEWR rates to reach out to local and state representatives, according to the release.