By Clint Thompson
Labor expenses remain the most significant barrier to Georgia specialty crop producers staying sustainable. At the current rate, the state’s fruit and vegetable growers are losing ground on sustainability.
Georgia specialty crop producers have incurred a 31% increase in the Adverse Effect Wage Rate (AEWR) over the past three years. The $16.08 growers are paying for AEWR this year is a 9% increase from 2024. It’s unsustainable and is threatening the livelihood of fruit and vegetable farmers in the region, says Chris Butts, executive vice president of the Georgia Fruit and Vegetable Growers Association (GFVGA).
“Speaking with one of our prevalent Georgia growers about what percentage of his costs are now labor, and that number is creeping up to 40%. That’s unsustainable,” Butts said. “Given all of the other rises in input costs and everything it costs to do everything now, if we don’t get that number down and don’t get that percentage down as an overall percentage of our costs and expenditures, we’re going to start losing folks.
“We (as specialty crops) know we’re going to have a larger percentage of our expenses related to labor, but there’s a limit there. We’re pushing it, and with a lot of people, we’re exceeding what that limit is.”
Georgia’s H-2A Positions in 2024
Georgia increased its certified H-2A positions to 43,436 in 2024, making it the second-largest employer of H-2A labor. Its total is 11.3% of all positions.
“We’ve got to do something to bring that rate back to economic reality of our rural communities. Right now, we’re mandated to pay twice the federal minimum wage, and no other industry has to do that. We’ve put our farmers in a box,” Butts said.