WGCIT Sponsor: Innovation Still Drives Vessey & Co.

September 11th, 2019

In the 1930s, Elton Vessey, who founded Vessey & Co along with his wife, Maudie, developed an innovative transportation technique utilizing a flatbed truck for the harvesting of crops in the Imperial Valley.

Today, the Vessey & Co. website (www.vessey.com) devotes a paragraph to the innovation in its retelling of the company history. It notes that the “Vessey System” revolutionized lettuce harvesting and was utilized by growers throughout Arizona and California. In fact, the innovation was spun off into a separate company called the Rapid Harvest Company. The innovation is further memorialized in a February 1937 entry in the “Photo, Print, Drawing” section of the Library of Congress. That entry focuses on the use of the “new Vessey (flat truck) system” for the harvesting and hauling of cabbage and also notes that the innovation is used in carrots and lettuce.

It was no doubt the drive to increase the efficiency and output of his workers that led Elton Vessey to develop that system. That is the same motivator that drives his great grandson Jack as he looks for efficiencies in the same fields where the Vessey System first debuted.

Jack Vessey, who now leads the company and oversees its 10,000-plus acres in that same Imperial Valley, says it is the need for increased mechanization that informed his company’s decision to be an early sponsor of the Western Growers Center for Innovation & Technology.

Housed in Salinas, the Center acts as an incubator of ideas and a depository for start-up companies looking for a place to give those ideas a place to breathe and flourish. “Mechanization and automation is the key to our future viability,” Vessey said.

While helping to fund this program is a testament to the company’s long-standing commitment of service to Western Growers and the industry, Vessey pulls no punches. This is also a pursuit of survival. “We have to have help on the labor side,” he said. “We have to be able to farm more acres and have more production with fewer labor hours.”

He said it is an undisputed fact that sufficient labor to harvest the crops and make them ready for market is getting much more difficult to secure and is increasingly more expensive to the point that it is almost impossible to survive. Technology is the solution, he said.

He added that technological advances in other aspects of running an agricultural business are also very much needed including in the food safety arena and for many administrative tasks such as streamlining payroll accounting and making sure the firm is in compliance with a myriad of worker regulations. “It’s clear, we need new solutions.”

Currently, there are more than 50 companies in the Center working on a far-ranging list of ag issues including mechanization, computer science, water quality and supply, and crop protection.

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2019: Making Sense of Nonsense in Sacramento

September 11th, 2019

At the time of the writing of this article, the California Legislature had returned to Sacramento from its summer recess. They are now in session and will be for five more weeks as they complete the year’s legislative business. Governor Gavin Newsom will then have until October 13 to act on those bills that have reached his desk. Western Growers has worked all year to advocate for issues and bills that further the interests of our industry. We have also been working feverishly to either amend or stop bills that would have harmful impacts on agriculture in California.

There have been many nonsensical bills that have been introduced this year. To some extent, this is not surprising. Legislative members and their stakeholders are attempting to push through very aggressive policies in order to “see” where Governor Newsom stands on them. However, the degree to which this is happening is something that Western Growers staff has never seen before and, frankly, those who have been around the Capitol for decades have not recalled witnessing. It doesn’t matter how infeasible, illogical, or even patently unfair the bill is; they continue to move through the legislative system. Key amongst these is AB 1783 by Assemblymember Robert Rivas (D-Hollister) regarding farmworker housing. AB 1783 is being sponsored by the United Farm Workers (UFW). Western Growers is leading a coalition in opposition to the bill.

Our industry is suffering through a severe housing shortage. The causes for this are many but one concern is that local jurisdictions are not approving conditional use permits in a timely manner, which stalls the ability to even get the housing project off the ground. AB 1783 would allow a grower to apply for a ministerial permit for farmworker housing on agricultural land through the California Department of Housing and Community Development if they agree to turn over the management of that housing to a qualified affordable housing organization (i.e. UFW, CRLA, etc.) for a 55-year contract.  This provision is completely unreasonable. Growers will not agree to turn over the keys to their housing operation to a third-party. They will also not agree to tie-up their land under the terms of a 55-year deed restriction.

Western Growers is also heavily opposed to a provision within the bill that would prohibit farmers from accessing incentive and grant money through programs like the Joe Serna Farmworker Housing Grant Program if they would be utilizing the money for the planning, development and operation of housing for H-2A employees. Furthermore, if the farmer has accessed these funds and subsequently has to hire H-2A employees and place them into this housing, they will have to reimburse the state of California for those funds. How shortsighted and dare we say discriminatory! This provision gives stark reality to the lack of understanding and, frankly, concern that the UFW has for the agriculture industry as a whole. If a farmer has 100 employees and 10 of these employees have been hired through the H-2A program, then the other 90 domestic workers will be faced with a loss of potential housing availability. This is completely counter to the intent of Proposition 1, which provided an additional $300 million for farmworker housing in the state. Western Growers is requesting that, at a minimum, this provision be removed from the bill. The ministerial permit language is an “opt-in,” the H-2A language is a strict mandate.

AB 1783 is representative of how dysfunctional the legislative process in California has become over the past few years. There is less attention being focused on the actual language within a bill and more attention being placed on whether the bill has merit based on who the sponsor is. Our industry underwent a similar conversation with the agricultural overtime bill in 2016. Many policymakers, including then-Governor Jerry Brown, recognized that reducing the threshold for agricultural overtime may not make economic sense. However, it “seems” to be the right thing to do. This is insider speak to say that we do not want to vote against the UFW.

Western Growers has had a strong legislative year to date with significant wins on drinking water and many labor bills including stopping an increase in paid sick leave. These advocacy efforts revolved around facts and examples of what the impacts would be on individual operations. We are doing the same on our advocacy against AB 1783. Admittedly, it is much more challenging to gain momentum in stopping the bill because we are trying to make sense out of nonsense.

 

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Labor is Again at the Forefront

September 11th, 2019

While there has always been a need for lawyers in the business of farming, it was clearly issues surrounding labor in the 1960s and ‘70s that led to rapid increase in the number of attorneys who practice in this sector.

In fact, elsewhere in this issue, Attorney Mike Saqui reveals that he is very proud to have served the industry during a time that featured the “greatest generation of ag lawyers.” Many of these lawyers started at Western Growers and spent their early years defending employers in the on-going employer-employee conflicts. Early on, it was all about unionization and contract negotiation. In recent years, workplace regulations, especially surrounding wage and hours laws, have been the focal point of many law practices.

Today, Western Growers Vice President and General Counsel Jason Resnick said securing a workforce has moved up the ladder as the top issue for many Western Growers members. “We are doing a lot of work in H-2A,” he said, referring to the U.S. Department of Labor (DOL) program that is designed for agricultural employers to bring a specific number of foreign workers into the country for a temporary and defined period. “We have had a significant increase in the number of applications that we have filed,” he said. “At any given time, we have dozens of applications in process”

Resnick said the need is obvious as there is an acute labor shortage for farmworkers across the country. The Western Growers legal team has filed most of its applications for companies in California, Arizona and Colorado. With increased experience, he said navigating the H-2A regulations has become easier but the rules are still burdensome and there are lots of hoops that employers need to jump through—not the least of which are the housing and transportation requirements.

But Resnick is hopeful that proposed changes by DOL can modernize and streamline the process. He said one of the new proposed rule changes would allow employers to stagger the entry of the applied for workforce. Currently, all workers must come into the country and start working on day one of the work period. Of course, unlike the manufacturing of widgets, agricultural production often ramps up over time with the need for more laborers as the season progresses. “The current regs are not flexible,” he said. “This change and some others would add some much needed flexibility.”

While Resnick appreciates the current effort to tweak the H-2A regulations, he said the ag industry still needs legislative reform with a fundamental change in the law if agriculture is to meet its labor needs. “We are still hoping for an ag labor bill this year,” he said repeating a mantra that the industry has been chanting for the past two decades.

Labor and employment law has long been the forte of Ron Barsamian of Barsamian & Moody, a Fresno, CA-based law firm. On this August day, Barsamian was in the midst of contract negotiations between his winery client and the union representing the workers. He said the negotiations were a welcome respite from the litigation work he is typically involved in representing employers in wage and hour disputes. That work tends to be ongoing as there is seemingly always a plaintiff’s lawyer somewhere filing an action against an employer for what Barsamian sees as unintended minor violations.

While, he said there has been very little union organizing activity during the past year—and nothing that has been successful—there are still many union contracts in effect that are constantly being renewed involving negotiations. He said this winery negotiation was progressing and he hoped to wrap it up soon.

Barsamian has also noted an increase in H-2A applications and is hopeful the potential streamlining of the regulations will help solve the ongoing labor shortage in agriculture.

He said another issue that has recently surfaced involved the sending of “no match letters” by the Social Security Administration (SSA). These letters from the SSA to employers informs them that they have a number of employees working under social security numbers that do not match SSA records. The letter, which doesn’t actually list the problem employees and numbers, asks the employer to reconcile their records with SSA records. Barsamian said an employer should not assume that a “no match” means an employee is an undocumented worker. “There are a lot of reasons there is no match, including simple clerical errors,” he said.

While some employers have been advised to take no active role in solving this issue, Barsamian gives his clients different advice. “Do what the letter asks you to do,” he said. “Go online to the Social Security website and get a list of which workers are impacted. Do not fire any workers, but let them know there is a mismatch and let them address it. If they do nothing, you might remind them down the road. Take no further action. If there is a problem this will allow you to say that you acted in good faith.”

Of course, not all ag law revolves around labor. There are many other far-ranging issues. For example, the Bryan Cave Leighton Paisner firm, which is an international firm, is involved in many different areas. Its agricultural work has recently been focused in areas as diverse as product recall and gene editing.

Attorneys Jennifer Jackson, (partner and co-leader of Commercial Disputes Practice Group) and Robert Boone (partner and global leader of Class Action Practice Group) filled in Western Grower & Shipper on the latest legal activity in the product recall arena. Not surprisingly, Boone said the major issues revolve around liability and how companies should protect themselves up and down the supply chain in the event of recall. While liability for harm to consumers will often be determined in court or through negotiations, where the obligations lie along the supply chain for defending lawsuits and paying for damages is typically resolved through contractual obligations.

In a typical fruit or vegetable recall, they said there can be many different firms that touch the product on the way from the field to the fork. And there are many different opportunities for contamination along the way. Boone said all participants upstream and downstream should have a clear legal understanding of the warranties, guarantees and obligations as the product moves from one stop on the supply chain to the next. He said these obligations should be addressed by contract.

He said that companies should have long-standing contracts examined to make sure they cover all the bases. In doing this kind of work, what he often finds is inconsistencies in the contract or among several contracts along a supply chain that cover the same transaction. He added that sometimes there are conflicts within a single contract. He acknowledged that most lawyers are going to find something they believe they can improve in any contract, but he indicated the review is still a worthwhile endeavor.

In the past, there have been issues surrounding the voluntary nature of recalls and the ability to collect on an insurance policy for example, when no smoking gun is ever found. From Boone’s experience, that is no longer an issue. He said while most produce recalls are technically voluntary, in reality the company has no choice but to participate once pathogens are found, governmental agencies get involved and a company’s product is suspect. He did say there can be litigation issues concerning the scope of a recall and the damages incurred because of it. He indicated that an insurance company, for example, could argue against widespread damages if they believe a recall was much broader than it should have been.

Whether a company should have recall insurance, he said is more of an economic decision than a legal one. A company has to determine for itself how much financial risk it wants to take.

Frank Plescia, who is senior director of state government affairs for Bryan Cave, discussed the concept of gene editing and new regulatory issues that could be arising in this arena. He said this is a new field and his law firm is currently working with Western Growers and other stakeholders discussing problem areas and what may emerge as this technology is adopted in agriculture.

At this point, the USDA has ruled that gene editing does not produce a genetically modified organism (GMO) when it involves the manipulation of genes within a species. The GMO issue arises when genes from another species are inserted as part of a gene manipulation process.

Plescia said Secretary of Agriculture Sonny Perdue has made it clear that when plant breeders use new techniques to develop new varieties there will not be additional regulations as long as traditional plant breeding techniques could have achieved the same results over time.

He said the biggest issue surrounding gene editing at this time appears to be the need for an educational effort. The perception about GMO products is well known and food researchers everywhere are understandably apprehensive about using a breeding technique if it becomes associated with that concept. Plescia said public perception is key in the adoption of this gene editing process.

He expects ongoing rule-making processes by U.S. federal agencies to affirm the previous policy statements by Secretary Perdue that the agencies will treat gene-edited products the same way they treat food products resulting from traditional plant breeding methods.

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Western Growers Law Firm Directory

September 11th, 2019

Participants in Western Growers Ag Legal Network (WGALN) agree to give Western Growers members a 15 percent discount off of their normal legal services rates.*

The WG-member law firms listed below specialize in a wide array of legal issues to fit virtually any need a member may have, from business contracts to labor issues to food safety liability. Members of the WGALN are highlighted in bold typeface with their practice areas are noted. Western Growers law firm members who advertise in this issue have also earned a descriptive phrase explaining their scope of practice.

 

Afsar Law Group

Amir Afsar

78-000 Fred Waring Drive Suite 203

Palm Desert, CA92211

Phone: 760-345-3110

Email: [email protected]

Website: afsarlaw.com

Specialties: Litigation, Professional Negligence, Commercial Real Estate, General Practice, Corporate Finance/M&A, Business Entity Formation, Mediation and Arbitration

Member of WG Ag Legal Network

 

AlvaradoSmith APC

Craig Hardwick

1 MacArthur Place, Ste. 200

Santa Ana, CA 92707

Phone: 714-852-6800

Email: [email protected]

Website: www.alvaradosmith.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Commercial Real Estate, Information Technology, Corporate Finance/M&A, Corporate Immigration, Intellectual Property, Trade & Customs, and Water

Member of WG Ag Legal Network

 

Barsamian & Moody

Ronald H. Barsamian

1141 West Shaw Ave., Suite 104

Fresno, CA 93711-3713

Phone: 559-248-2360

Email: [email protected]

Website: www.theemployerslawfirm.com

Specialties: Employment & Labor, Litigation

Member of WG Ag Legal Network

Barsamian & Moody is The Employers Lawfirmsm, a firm wholly dedicated to providing high quality, cost effective representation for employers in all aspects of labor and employment law.

 

Brownstein Hyatt Farber Schreck LLP

Kenneth L. Khachigian

300 South El Camino Real #203

San Clemente, CA 92672

Phone: 949-498-3879

Email: [email protected]

Website: www.bhfs.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Product Liability, Commercial Real Estate, General Practice, Information Technology, Insolvency & Restructuring, Shipping & Transportation, Corporate Finance/M&A, Intellectual Property, Trade & Customs, Corporate Tax, White Collar Crime, Water, and Political Advocacy

Member of WG Ag Legal Network

 

Bryan Cave Leighton Paisner LLP

Robert E. Boone III and Jennifer A. Jackson

120 Broadway, Suite 300

San Monica, CA 90401-2386

Phone: 310-576-2385 (Robert E. Boone III)

Phone: 310-576-2360 (Jennifer A. Jackson)

Email: [email protected] and [email protected]

Website: www.bclplaw.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Food Borne Illness, PACA Trust, Product Liability, Professional Negligence, Commercial Real Estate, Information Technology, Insolvency & Restructuring, Shipping & Transportation, Corporate Finance/M&A, Insurance & Reinsurance, Corporate Immigration, Intellectual Property, Trade & Customs, Corporate Tax, White Collar Crime, Water, and Consumer Class Actions Defense

Member of WG Ag Legal Network

BCLP’s globally ranked Food and Agribusiness Practice is a leader in providing legal services for the agribusiness and food industries. We represent producers, processors, suppliers, cooperatives, lenders and investors worldwide.

 

Law Offices of Shawn Caine, APC

Shawn Caine

1221 Camino Del Mar

Del Mar, CA 92014

Phone: 858-350-1660

Email: [email protected]

Specialty: Wildfire Litigation, Environment, Water, General Ag Business Law and Litigation

Member of WG Ag Legal Network

 

CJ Lake, LLC

Lynn R. Jacquez

525 Ninth Street, NW, Suite 800

Washington, DC 20004

Phone: 202-609-8501

Email: [email protected]

Website: www.cj-lake.com

Specialties: Employment & Labor, Litigation, Corporate Immigration

 

Davis Wright Tremaine LLP

Aaron Colby

865 S Figueroa St, Suite 2400

Los Angeles, CA 90017

Phone: 213-633-6882

Email: [email protected]

Website: www.dwt.comSpecialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Food Borne Illness, PACA Trust, Product Liability, Professional Negligence, Commercial Real Estate, General Practice, Information Technology, Insolvency & Restructuring, Shipping & Transportation, Corporate Finance/M&A, Insurance & Reinsurance, Corporate Immigration, Intellectual Property, Trade & Customs, Corporate Tax, White Collar Crime, and Water

Member of WG Ag Legal Network

 

Deason Law Group, P.C.

Dax Deason

4422 Navigation Blvd

Houston, TX 77011

Phone: 713-975-7301

Email: [email protected]

Website: www.deasonlawgroup.com

Specialties: Corporate Immigration, Employment & Labor

Member of WG Ag Legal Network

 

Dickenson, Peatman & Fogarty

Carol Kingery Ritter

100 B. Street, Suite 320

Santa Rosa, CA 95401

Phone: 707-524-7000

Email: [email protected]

Website: www.dpf-law.com

Specialties: Litigation, Employment & Labor, and Water

 

Dorsey & Whitney, LLP

Mike Droke

701 Fifth Avenue, Suite 6100

Seattle, WA 98104

Phone: 206-903-8709

Email: [email protected]

Website: www.dorsey.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Food Borne Illness, Product Liability, Professional Negligence, Commercial Real Estate, General Practice, Information Technology, Insolvency & Restructuring, Shipping & Transportation, Corporate Finance/M&A, Insurance & Reinsurance, Corporate Immigration, Intellectual Property, Trade & Customs, Corporate Tax, White Collar Crime, Water, and Agriculture Cooperatives

Member of WG Ag Legal Network

 

Downey Brand LLP

Dale Stern

621 Capitol Mall 18th Floor

Sacramento, CA 95814

Phone: 916-444-1000

Email: [email protected]

Website: www.downeybrand.com

Specialties: PACA Trust, General Practice, and Regulatory Compliance

Member of WG Ag Legal Network

 

Duane Morris LLP

Thomas Berliner

Spear Tower, One Market Plaza Suite 2200

San Francisco, CA 94105-1127

Phone: 415-957-3000

Email: [email protected]

Website: www.duanemorris.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Product Liability, Professional Negligence, Commercial Real Estate, Information Technology, Insolvency & Restructuring, Corporate Finance/M&A, Insurance & Reinsurance, Corporate Immigration, Intellectual Property, Corporate Tax, White Collar Crime, and Water

Member of WG Ag Legal Network

 

Employer’s Legal Advisor, Inc.

Jeanne Flaherty

587 N. Ventu Park Rd # E-128

Newbury Park, CA 91320

Phone: 805-499-2918

Email: [email protected]

Website: www.eladvisor.com

Specialties: Employment Law; Workers’ Compensation Defense

Member of WG Ag Legal Network

 

Faegre Baker Daniels LLP

Sarah L. Brew

2200 Wells Fargo Center

90 South 7th Street

Minneapolis, MN 55402

Phone: 612-766-7470

Email: [email protected]

Website: www.FaegreBD.com

Specialties: Food Safety, Litigation, General Practice, Product Liability, and FDA & Compliance

Member of WG Ag Legal Network

 

Law Offices of Geoffrey F. Gega

1851 East First Street Suite 900

Santa Ana, CA 92705

Phone: 714-542-1883

Email: [email protected]

Specialties: Employment & Labor

Member of WG Ag Legal Network

 

Jackson Lewis LLP

Jonathan A. Siegel

200 Spectrum Center Dr., Suite 500

Irvine, CA 92618

Phone: 949-885-1360

Email: [email protected]

Website: www.jacksonlewis.com

Specialties: Litigation, Employment & Labor

Member of Ag Legal Network

With offices in major locations from coast to coast, and six locations in California, Jackson Lewis P.C. provides creative and strategic solutions to employers in every aspect of workplace law.

 

JRG Attorneys at Law

Jeffery R. Gilles

318 Cayuga Street

Salinas, CA 93901

Phone: 831-754-2444

Email: [email protected]

Website: www.jrgattorneys.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Food Borne Illnesses, Product Liability, Professional Negligence, Commercial Real Estate, General Practice, Corporate Finance/M&A, Corporate Tax, Water, and Personal Injury

Member of WG Ag Legal Network

 

Littler Mendelson, PC

Mark Ogden

2425 E. Camelback Road, Suite 900

Phoenix, AZ 85016

Phone: 602-474-3601

Email: [email protected]

Website: www.littler.com

Specialties: Litigation, Employment & Labor

Member of WG Ag Legal Network

 

Malitzlaw, Inc.

Jeanne Malitz

1295 Scott Street

San Diego, CA 92106

Phone: 619-269-6164

Email: [email protected]

Website: www.malitzlaw.com

Specialties: Employment & Labor law; H-2A work

 

McKague Rosasco, LLP

Erica L. Rosasco

1217 Pleasant Grove Blvd., Suite 120

Roseville, CA 95678

Phone: 916-672-6552

Email: [email protected]

Specialties: Litigation, Employment & Labor, Product Liability

Member of WG Ag Legal Network

 

Meuers Law Firm P L

Lawrence H. Meuers

5395 Park Central Court

Naples, FL 34109

Phone: 239-513-9191

Email: [email protected]

Website: www.meuerslawfirm.com

Specialties: PACA Trust and Food Safety

 

Moncrief & Hart PC

Paul W. Moncrief

16 W. Gabilan Street, Salinas, CA 93901

Phone: 831-759-0900

Email: [email protected]

Website: www.moncriefhart.com

Specialties: Food Borne Illness, PACA, General Ag Business Law, Employment & Labor, and Water

Member of WG Ag Legal Network

 

Noland, Hamerly, Etienne & Hoss

Terry O’Connor

333 Salinas Street

Salinas, CA 93901

Phone: 831-424-1414

Email: [email protected]

Website: www.nheh.com

Specialties: Litigation, Employment & Labor, Energy & Natural Resources, Environment, Food Borne Illness, PACA Trust, Product Liability, Commercial Real Estate, General  Practice, Insolvency & Restructuring, Shipping & Transportation, Corporate Finance/M&A, Insurance & Reinsurance, Intellectual Property, Corporate Tax, Water, and Estates & Trusts

Member of WG Ag Legal Network

Our labor and employment attorneys have over fifty years of combined expertise in all aspects of labor and employment law and the best track record on the Central Coast.

 

Rynn and Janowsky, LLP

R. Jason Read

4100 Newport Place Drive, Suite 700

Newport Beach, CA 92660

Phone: 949-752-2911

Email: [email protected]

Website: www.rjlaw.com

Specialties: Litigation, Employment & Labor, Food Borne Illness, PACA Trust, Shipping & Transportation, Marketing Agreements, Growing & Packing Agreements, Secured Transactions

Member of WG Ag Legal Network

 

The Saqui Law Group, A Division of Dowling Aaron Incorporated 

Michael C. Saqui

1410 Rocky Ridge Drive

Suite 330

Roseville, CA 95661

Phone: 916-782-8555

Email: [email protected]

Website: www.laborcounselors.com

Specialties: Litigation, Employment & Labor

Member of WG Ag Legal Network

For nearly three decades The Saqui Law Group, a Division of Dowling Aaron Incorporated, has aggressively represented employers in Agriculture, Food Processing, Manufacturing, Trucking, and Hospitality in all areas of employment, labor-management relations and workforce strategic planning.

 

Shook, Hardy & Bacon LLP

Paul B. La Scala

5 Park Plaza, Suite 1600

Irvine, CA 92614

Phone: 949-475-1500

Email: [email protected]

Website: www.shb.com

Specialties: Litigation, Environment, Food Borne Illness, and Product Liability

Member of WG Ag Legal Network

 

Somach Simmons & Dunn

Theresa (Tess) A. Dunham

500 Capitol Mall Suite 1000

Sacramento, CA 95814

Phone: 916-446-7979

Email: [email protected]

Website: www.somachlaw.com

Specialties: Litigation, Energy & Natural Resources, Environment, Water

Member of WG Ag Legal Network

 

Charley M. Stoll, APC

Charley M. Stoll

711 East Daily Drive, Suite 115

Camarillo, CA  93010

Phone: 805-389-5296

Email: [email protected]

Specialties: Litigation, Employment Law

Member of WG Ag Legal Network

 

Tuttle Taylor & Heron

Julian Heron

1725 I Street, NW Suite# 300

Washington, D.C. 20006

Phone: 202-349-3859

Email: [email protected]

Specialties: Litigation, Energy & Natural Resources and Agricultural Law

Member of WG Ag Legal Network

 

Wallace Jordan Ratliff & Brandt LLC

Jason R. Klinowski

800 Shades Creek Parkway # 400

Birmingham, AL 35209

Phone: 205-874-0371

Email: [email protected]

Website: www.wallacejordan.com

Specialties: Litigation, Employment & Labor, Food Borne Illness, PACA Trust, Product Liability, Commercial Real Estate, General Practice, Information Technology, Insolvency & Restructuring, Shipping & Transportation, Corporate Finance/M&A, Insurance & Reinsurance, Intellectual Property, Corporate Tax, and ADR

Member of WG Ag Legal Network

 

Law Offices of Scott A. Wilson

Scott Wilson

433 G Street, Suite# 203

San Diego, CA 92101

Phone: 619-234-9011

Email: [email protected]

Website: www.pepperwilson.com

Specialty: Employment & Labor

Member of WG Ag Legal Network

 

The Law Offices of Young Wooldridge, LLP

Michael A. Kaia

1800 30th Street, 4th Floor

Bakersfield, CA 93301-1919

Phone: 661-327-9661

Email: [email protected]

Website: www.youngwooldridge.com

Specialty: Employment & Labor, Ag Law, and Water

Celebrating 80 years of dedicated service in Kern County, the attorneys at Young Wooldridge, LLP advise agribusiness clients, families and individuals like you in a wide array of practice areas.

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Posted in WG&S Magazine, September / October 2019 Issue | No Comments »

A Stroll Down Memory Lane: 60 Years of Service

September 11th, 2019

There’s an old adage that life can only be understood looking backwards and only lived moving forward. When Western Growers Assurance Trust (WGAT) was founded in 1957, it was the beginning of something unique—there was a large gap between the agriculture and health care industry that needed to be bridged. Little did our founders know that more than 60 years later, WGAT would become the largest provider of health benefits for the agriculture industry.

As with most companies, we started from humble beginnings. When our trust was established, our first benefit plan cost less than $10 a month. By the end of that first month, our plan covered 144 lives, and we doubled that number by the end of our second month in service, covering close to 400 lives. Less than 10 years later, in 1964, our trust expanded to include three different plans in its book of business – and by 1971, we saw that number increase to eight.

 

Strengthening operations

There were many things in motion during this time that required us to nimbly adapt to frequent changes within our industry and, as a result, advance our technology. To keep our operations as streamlined as possible, WGAT installed its first computer system in 1974. We have remained at the forefront of technology and innovation ever since.

It was a few years later in 1980 when WGAT became fully self-insured and self-funded, and it was in this very decade when I joined the company in 1985. By 1987, WGAT held more than 250 contracts and the number of providers grew to more than 2,000. We did see our fair share of growing pains during this period, as well as some high claims costs. To remedy the issue, we focused much of our efforts in the 1990s on strengthening operations, increasing measures of profitability and building up our surpluses and reserves. This was also the decade we began our partnership with Anthem Blue Cross, paving the way for many successful initiatives.

 

Focusing on diversification

In 1996, we formed Pinnacle Claims Management, Inc. (PCMI) a third-party administrator that enabled us to expand our offerings into a suite of health benefit services to assist self-funded participants. Diversifying ourselves and expanding our services also allowed us to avoid financial difficulties similar businesses were facing in the industry. We saw several health benefit trusts file for bankruptcy and default on enrollee benefit claims. WGAT stepped up and took on many of their clients, providing them with health care coverage.

In 2010, we rolled out our Cedar Health & Wellness Centers and associated Cedar Networks. This enabled us to provide affordable health care services with copays that cost less than standard plans, while further delivering exceptional care and controlling costs. A few years later, we successfully opened Pinnacle Rx Solutions (PRxS), a pharmacy benefits manager; Pinnacle Health Management (PHM), a care management and wellness company, to offer our participants comprehensive benefit solutions that their employees could easily adopt. We also launched our WGAT telemedicine program Doctor on Demand. This gave our participants, most of whom live in rural areas, the ability to virtually connect with licensed health care providers in the United States for live video health care visits. Most recently, we started two new entities Pinnacle Risk Management Services (PRMS), a stop-loss insurance company, and Pinnacle Print and Transaction Solutions (PPTS), a healthcare print and distribution company further enhancing our goal to be a one-stop shop for employers healthcare needs.

Today, I am pleased to say that WGAT and PCMI are responsible for managing an estimated $500 million in health care claims and have 60,000 employees covered. Additionally, our retail network of pharmacies totals more than 65,000 nationwide, and our mail order program fills more than one million prescriptions each year.

Looking back, it is clear we created an entire synergy to support agriculture. Since WGAT’s inception, we have worked tirelessly to develop robust health plans and offer customizable services that meet the needs of a diverse workforce in a unique, rapidly evolving industry. I am excited for our continued contributions and advancements in serving the agriculture community, and I’m particularly looking forward to the continued impact we have on our participants’ health and well-being.

(In addition to serving as executive vice president of Western Growers Assurance Trust, David Zanze is the president of Pinnacle Claims Management, Inc.)

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Posted in WG&S Magazine, September / October 2019 Issue | No Comments »

Law Firm Committed to Creating “Employers of Choice”

September 11th, 2019

Mike Saqui grew up the son of a union organizer in heavily-unionized New Jersey expecting that someday he would come back home and help union members take back control of their union from less-than-ethical leaders.

Instead, after graduating from a California law school, he met a labor lawyer named Tom Nassif who directed him to a career working on the management side of the negotiating table. “I’m still helping workers by working with companies and helping them be the best employer they can be. It’s all part of our ‘Employer of Choice’ program.”

Saqui’s road to his career path is pretty straightforward. He grew up in Bergen County, just across the Washington Bridge from New York City. His father and brothers were Teamsters and he had a Teamster card as well from local 560. But he had no illusions that the union was being run solely for the good of the workers. “We all knew growing up what was going on with the Teamsters and the corruption that was in the leadership. From early on, I knew I would be in the union movement. I always thought I would come back and help the Teamsters for a Democratic Union take back their union. I was naïve to think they were less corrupt.”

After high school, Saqui headed to Wisconsin and Marquette University. As a member of an Italian/Irish community, it was a natural choice. From there he moved further west to San Diego to get his law degree at California Western School of Law. He kept his union card through law school working as a “casual” to qualify for benefits and pay his way through college. “I knew the system and I gamed it. I worked just enough to accumulate enough days to get benefits.”

It was as he was graduating in 1990 that he met Nassif, who had just completed a three-year stint as ambassador to Morocco. “His nephew was a law school classmate of mine. In those days employment law was very big. Tom Nassif steered me to Ron Barsamian, who hired me on Labor Day 1990.”

At the time, Saqui’s current girlfriend and future wife was working for the San Diego County District Attorney’s Office and was not keen on moving from San Diego to the Central Valley. And, in fact, she didn’t follow him right away.

But Saqui was convinced. The day he met Barsamian, the Fresno lawyer was on the other side of picket line representing management. “I knew I wanted to work with him.”

Barsamian hired Saqui in 1990 and made him a partner three years later. The two remained partners until 2007 when Saqui broke away and formed his own firm—the Saqui Law Group. He continues to have a huge amount of respect for his mentor and partner. “Big boy Ron taught me everything I know. He is a special person in my life and will always be so. He and I still have a very close friendship. It was just time for me to leave the teacher.”

The Saqui Law Group grew quickly, eventually having offices in both Roseville and Sacramento, with a staff ranging from about four to 11 people, depending on various circumstances. “We have had a 20 percent increase in revenues every year since we started. Right now I have eight lawyers. We are typically in the eight to 10 range.”

He believes his “Employer of Choice” program is great for workers and employers. “Clients sign on knowing that our goal is to make them a better employer.”

He added that employees have choice so he sees two big reasons to become an Employer of Choice. “You’re doing the right thing because it is the right thing to do,” he said. “But it is also good for you as an employer.”

He noted that employers enrolled in this program do not have trouble finding employees and are engaged in fewer worker lawsuits and fewer workers’ comp claims.

Saqui still has a soft spot for the union concept if not unions themselves. “All the lawyers who work for me have to understand the historical context of unions,” he said. “Unions did set in motion child labor laws, equal pay, women’s rights, OSHA. Before there was OSHA, there were unions. The union movement does have a remarkable and robust history.”

He said they deserve a special place in history, but in modern times they are largely irrelevant and corrupt. He indicated that workers don’t need a union if their company treats them right. “I have met some good union people that do a good job. And I have turned down clients where they need a union.”

But he admits that anything having to do with labor—union campaigns, strikes, collective bargaining—is what gets his blood moving in the morning. It is his favorite part of the business and is what he would choose to do every day if he could.

Saqui is very proud to be a member of what he considers to be the “greatest generation of ag lawyers.” He put a number of people in that group including Nassif (“Tom was a badass in his day!”) and Barsamian, but also added Rob Roy of the Ventura County Ag Association and Jim Bogart of the Grower-Shipper Association of Central California. He then went on and added a half-dozen more names to the list. “I am blessed beyond blessed to have had the opportunity to work with and for these ag legends.”

He also credited Western Growers for finding and educating most of these lawyers. “Ron (Barsamian) came up through Western Growers and taught me the Western Growers way, which is you are on the road all the time.”

The latest wrinkle is that the Saqui Law Group has become a division of Dowling/Aaron, a Fresno-based firm that specializes in providing legal service to business owners. Saqui said the affiliation allows him to bring a one-stop solution to all the legal needs of his clients. Eventually, the Saqui Law Group name will be dropped and Mike Saqui will lead the Ag Labor Team at Dowling/Aaron. He called Richard Aaron a longtime friend who has handled the business affairs of the Saqui Law Group since its inception.

Saqui said the move “gives me a deeper bench in labor” and allows his clients to take advantage of one firm for all their legal needs, including estate planning.

But Saqui was quick to point out that this was not an exit strategy for him personally. He has no intention of quitting. He and his wife, Lisa, who worked for the DA’s office in both San Diego and Sacramento before becoming CFO of the Saqui Law Group, live in Truckee, Calif. Saqui travels throughout California on a regular basis. “Same as I always did, but now I do it by plane rather than pickup truck.”

His daughter, Mickela, graduated from Cal Poly San Luis Obispo and is a geotech engineer. His son, Brock, graduated from Chico State, and is currently a candidate for the sheriff’s department.

 

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From Jose the Trainer to Jose the Human

September 11th, 2019

By Hilario Garcia

The morning of Tuesday, June 11, 2019, started like any other for Jose Lopez, one of the loss control consultants here at Western Growers Insurance Services (WGIS). He was conducting first aid/CPR training for the management team of one of our clients. It was one of the hottest days of the year, with temperatures reaching the high 90s. The training was going according to plan until Jose was pulled from his session.

He was told that his assistance was needed in assessing one of the field employees who was transported from another side of the property. After hearing that they were attempting to bring the core temperature down for this employee, Jose immediately knew that this “standard assessment” was going to be one he would never forget. He quickly yelled, “Call 911!” and ran over to the container cooler she had been taken to.

Once in front of the employee, it didn’t take long for her to start showing signs of heat stroke. Jose immediately noticed that she was beginning to have convulsions and intermittent breathing patterns. Then, she suddenly stopped breathing for about 15-20 seconds. It was in that moment that Jose recalled, “Everything just stopped around us,” and his professional training instincts kicked in. As other employees brought over wet towels to place on the back of her head, Jose took all the steps necessary to help her regain consciousness, keep her talking, and test the severity of her symptoms until the paramedics arrived.

“What’s your daughter’s name? Can you sing me a song?” Those were only some of the questions Jose kept requesting, initially getting responses only half of the time. Soon after, half of the time turned into every time, which could not have made Jose more relieved. He took a deep breath as if he was back in that moment and mentioned, “I was no longer ‘Jose the Trainer’, I was ‘Jose the Human’ and I knew this was someone’s daughter, sister, mother, wife, and friend.” It didn’t take long for the paramedics to arrive on scene and quickly take over.

Western Growers is very proactive about reducing the number of incidents related to heat illness, and reducing heat illness. Our clients take all the necessary steps to adhere to the Occupational Safety and Health Administration’s (OSHA) requirements for heat illness prevention including developing and following a written program. Aside from making sure all of your employees and supervisors are properly trained, it is important to always remember to provide water, access to shade with frequent cool-down breaks, and a strong plan. Taking the time to plan for all situations can help everyone stay safe while remaining compliant.

According to the Centers for Disease Control and Prevention, “heat-related deaths are one of the deadliest weather-related health outcomes in the United States,” with some of the highest incidents in Arizona, California and Texas. Although every heat-related incident is preventable when you are at work, OSHA reported more than 40 people have died to some type of heat illness at work since 2017. That’s 40-plus lives that could have been saved if the employees and their supervisors were properly trained to recognize the signs and symptoms of heat illness and knew when and how to get help.

At WGIS, we pride ourselves on being a full service insurance brokerage serving the agriculture industry. As part of the services and resources we offer, bilingual loss control consultants are on staff and passionate about educating our clients. Assistance with training on this topic, and others, can be coordinated at any time. We understand the regulations that affect your business, and the precious lives you are expected to take care of. Our team will help you become aware and committed to work-site safety and health by reviewing the regulatory language and heat illness preventive measures.

Perfect timing and by-the-book actions are the only ways to describe what happened that Tuesday afternoon in June. Jose had never had an experience like that before, but he realized that your safety training can go out the window if you can’t remember what was taught to you. If you do not retain the important information that is taught during one of our trainings, someone’s life is potentially in danger.

“You really don’t appreciate training like ours until you need it,” said Jose. That passion and real life experience is what makes the WGIS team different; we ensure you are properly trained, and we genuinely care about what we do and the people we do it for.

Scheduling and receiving the required and proper safety trainings that we offer is an investment in your operation, and in the lives and welfare of your employees and supervisors. If you are interested in scheduling a training, please reach out at [email protected] or call me directly at (559) 351-5493.

 

 

 

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Expense Reimbursement is the Law

September 11th, 2019

By Terry O’Connor

Labor Code § 2802 requires California employers to reimburse employees for all necessary expenditures incurred in the performance of their duties. In general, employers must reimburse the cost of uniforms, travel expenses, tools and equipment required for the job. Necessary expenditures include any attorney fees or costs incurred by employees to recoup expenses from their employer.

California’s wage and hour plaintiff attorneys have seized on expense reimbursement as another means of extracting large settlements from unwary employers.

This indemnification obligation can also include liability for an employee’s unlawful behavior when the employee was acting on the orders of the company. Employers are not only liable for a judgment entered against an employee for wrongful conduct, they are also required to pay the cost of the employee’s defense in such cases. However, an employer need not defend an employee if the employee knew that his actions were unlawful.

Some guidance on what expenses must be covered under Labor Code§ 2802 is in the Wage Orders.

 

I.   TOOLS AND EQUIPMENT

One section requires employers to provide and maintain tools and equipment if such tools are required by the employer or are necessary for the job. Employees who make more than twice the minimum wage may be required to provide their own hand tools required by their specific trade.

In a recent lawsuit, a plaintiffs’ firm is contending that the employer’s failure to provide tools is a violation of the minimum wage law and are seeking the difference between $22.00 per hour and the employee’s actual hourly rate!

Another section covers employer-required uniforms. Other gear must be reimbursed under certain circumstances. In agriculture, most employers have policies requiring sturdy shoes and prohibiting open-toe footwear. A recent court decision clarified that merely requiring slip-resistant shoes at Denny’s restaurants did not trigger an obligation to pay employees for those shoes. The court noted that certain articles of clothing which are “usual and generally usable in the occupation” do not meet the standard of a “uniform” which must be reimbursed.

A different standard applies to necessary safety equipment (Personal Protective Equipment or PPEs) such as goggles, gloves and hard hats necessary to protect employees from work place hazards. Such equipment is mandated by OSHA. For example, California has just passed a requirement for respiratory devices to protect outdoor employees from wildfire smoke and Cal-OSHA is now requiring ammonia facilities such as produce coolers to install self-rescue respiratory masks.

 

II.  TRAVEL EXPENSES

Most employers are aware of the need to reimburse for work-related travel, meals and mileage. Many agricultural employers do not realize they have incurred travel expense obligations when they require employees to use their personal vehicles for work. An example is when employees use their cars to travel between fields during the day. Driving to and from work at the beginning and end of the day is not compensable. However, any employee using their car to drive between fields after the start of work is entitled to a mileage reimbursement.

Both the California Supreme Court and the Division of Labor Standards Enforcement (DLSE) take the position that payment of a reasonable mileage reimbursement satisfies the Labor Code. The Internal Revenue Service Rate rate ($0.58 per mile in 2019) is an acceptable rate to pay for work-related use of a personal vehicle.

There is an exception to the ‘to and from’ work exemption. Employees who are required to transport tools and equipment necessary for the operation may be entitled to additional mileage reimbursement. An example is a foreman who transports drinking water, bathroom supplies or tools in his personal truck.

 

III. CELL PHONE USE

Cell phones are ubiquitous in the fields among employees, foremen and supervisors. When does the required use of cell phones for work trigger the obligation to reimburse an employee for such use?

A foreman or supervisor uses a cell phone to contact others in the company or his subordinates is clearly entitled to reimbursement of such costs. The difficulty of distinguishing between personal use and business use has led most employers to simply provide phones to their management staff. Furthermore, a court has ruled that an employer must always reimburse and employee for the reasonable expense of mandatory personal cell use even when the employee incurs no extra charge on his phone plan.

In general, non-exempt harvesters would not be able to claim reimbursement for personal cell use. However, some employees, such as irrigators, quality control employees and truck drivers who receive multiple daily instructions or who must regularly report from remote locations are entitled to reimbursement if a personal cell phone is used.

In order to resolve such issues the employer could reimburse a reasonable portion of the cell cost or provide a low cost phone to such employees.

 

IV. COMPLYING WITH REIMBURSEMENT LAWS

An employee’s right to be reimbursed for necessary expense should be contained in the Labor Code Section 2810.5 notice. A written notice with rates of pay, payday, employer identification information and sick leave benefits must be provided to all new employees and should be given to all seasonal employees when they start a new season. Including the reimbursement language in this document establishes that the employer has a lawful policy.

The policy should also be featured in any employee manual or set of rules. Ensuring employee awareness of a reimbursement policy is a vital step in preventing class action claims. Once the policy is established, the company should use specific reimbursement forms designed by the employer. The office, all supervisors and foremen should have a supply of such forms and instructions on their use.

Employers may initially be concerned about excessive reimbursement claims. When travel in personal vehicles is required during the day, the foreman should note the distance travelled on the crew sheet. Most of the time employees who use their personal vehicles for short distances will not take the time to obtain, fill out and turn in a form for a couple of dollars. Nevertheless, supervisors must provide the forms and never discourage their use.

A policy which prescribes the use of authorized forms submitted within a designated time period will ensure that reimbursement requests are timely for budgeting, billing and tax purposes and ensure that all employees are treated consistently.

Finally, the forms should allow for reimbursement of other necessary expenses such as cell phone use, special gear, supplies or uniforms.

 

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Western Growers: First in Food Safety

September 11th, 2019

This issue of Western Grower & Shipper is about “firsts.” Western Growers has led the way in several areas of science and technology beginning with our leadership in the food safety arena.

It is not well known, but Western Growers food safety history goes back decades. In 1990, when I joined Western Growers, we were already way ahead of other trade associations and industry partners who were still focused on chemical residues as the principal food safety concern in fresh produce.

At that time, Western Growers was already sounding the alarm about the risks of microbial contamination in fresh produce and organizing the industry around the development of “good agricultural practices” to minimize microbial contamination.

It was Western Growers, along with the International Fresh Cut Produce Association, that organized the industry effort to develop and publish the first ever set of voluntary guidelines to minimize microbial contamination in various growing, packing, shipping and processing operations. The “Voluntary Food Safety Guidelines for Fresh Produce” was the seminal document on which all other guidelines have been based.

Even the first guidance for industry from the Food and Drug Administration (FDA), the “Guide to Minimize Microbial Food Safety Hazards for Fresh Fruits and Vegetables,” followed on the heels of this Western Growers’ “first” in food safety.

Voluntary guidance was the foundation of produce industry food safety efforts for several years, but outbreaks continued.

In 2004, the industry, in meetings with FDA, determined that guidance needed to be more commodity specific and began the process of organizing to write guidance for leafy greens, green onions, culinary herbs, cantaloupes and tomatoes. Western Growers ended up leading the development of each commodity specific guideline except tomatoes.

In April of 2006, again led by Western Growers, industry published the first ever “Commodity Specific Food Safety Guidelines for the Lettuce and Leafy Greens Supply Chain.”

The industry was in the process of extending, educating and implementing these voluntary guidelines when the largest outbreak ever associated with a leafy green (spinach) was announced by FDA (September 2006) and a national advisory to not eat fresh spinach was issued. The human and financial loss associated with this tragedy shifted the paradigm forever in California and Arizona. No longer would “voluntary” implementation of good agricultural practices be sufficient. In California, the state was about to step in and dictate how the industry should grow, harvest and handle leafy greens.

Again, Western Growers stepped up first. While the Science and Technology staff led the development of much more prescriptive and measurable food safety standards for leafy greens, often referred to as “metrics,” the Government Affairs staff led in the development and implementation of a public/private partnership under state Marketing Act authority.

In early 2007, CDFA stood up the California Leafy Greens Marketing Agreement through leadership from Western Growers. Signatories to the Agreement were binding themselves to mandatory adherence to “metrics” and agreeing to mandatory audits (both scheduled and random) by highly trained CDFA auditors. To date, this “first,” attributable largely to Western Growers, remains the strongest food safety model in the country.

But food safety continues to evolve. Western Growers was also among the first to lead in developing food safety research efforts for the fresh produce industry. As an early member of the Western Institute for Food Safety and Security, Western Growers ensured a fresh produce perspective was front of mind for the talented academics on that team. Western Growers was also a leader in organizing the Center for Produce Safety (CPS), as well as securing their block grant funding for food safety research, and is a major financial contributor to CPS.

Today, as we are working to recover from two recent outbreaks associated with romaine lettuce, Western Growers remains a leader for the fresh produce industry.

Western Growers was the first to roll up its sleeves and set about working with growers, handlers and the California and Arizona Leafy Greens Marketing Agreements to understand and identify where improvements in best practices may occur. We are continuing that work today, not only working to review and improve food safety metrics but also to develop and deliver collateral resources that will help growers, handlers and other impacted parties comply.

I look back on the food safety record of Western Growers and am pleased with the significant number of firsts that are attributable to our Association. We are a strong facilitator for growers and handlers and remain committed to minimizing risk and maximizing practicality through smart food safety practices.

While we have been good at working collaboratively with others in the supply chain and in the regulatory and research communities, we are less of a task force leader and more of a blue collar worker who “gets things done.”

I am proud of the legacy of firsts that stem from Western Growers in the food safety, science and technology areas and looking forward to continued leadership in the coming years.

 

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WGFS Provides an Inside Look into the Future of Finance during Annual Meeting

September 11th, 2019

As 2020 quickly approaches, we are going to be faced with significant unknowns that could have a dramatic impact on our financial market. Will the trade war with China still be in full swing? Are we going to see a recession? What effect will the election of a new president have on the market? In the same vein, how would a re-election of President Trump affect national finances? With so many looming questions, Western Growers understands that you, our members, need some insight, guidance and tips for securing your personal financial state in such volatile times.

That is where our upcoming session—The Future of Finance—during our 94th Annual Meeting in Maui, Hawaii, comes in. We have brought together a star-studded panel that will provide an in-depth investment analysis and delve into hot topics such as upcoming market trends and fast-growing companies investors should be keeping a close eye on.

We have invited industry veteran Ashley Kennefick, regional director at Fidelity Institutional Asset Management, to join us on the panel. Kennefick plans to give us an economic forecast for the upcoming year, as well as provide a long-term outlook for the next decades.

Additionally, she will discuss the following:

•   2020 Presidential Election: In the past 75 years, only three presidents failed to capture enough popularity to win a second term in office. While our nation has historically favored the incumbent, Kennefick will touch on what 2020 could look like if the current administration is replaced the same way Gerald Ford was in 1976, Jimmy Carter in 1980 and George H.W. Bush in 1992.

•   Bond Yield Decline: She will provide her thoughts on why bond yields continue to decline—both domestically and in other developed countries—despite the fact that the United States currently touts a robust economy with historically low unemployment.

•   Bull Market: We will be going on the 11th expansion year since the Great Recession, making this the longest bull market session (when prices rise 20% from a previous drop of 20%) in history. She will share what, if any, current or any negative trends exist and if they indicate that the expansion may be over.

Quoc Tran of Lateef Investment Management will also serve on the panel. Tran is chief investment officer, domestic equity portfolio manager and managing partner for the prestigious investment firm. Lateef, a current equity account for the Western Growers Defined Contribution Retirement Program, has maintained the same “buy and hold” investment philosophy for 45 years. The firm believes that maintaining concentrated, high-quality growth portfolios that are differentiated from the market result in long-term capital appreciation and principal preservation. Tran will discuss the company’s investment strategy and provide insight on how Western Growers members can use these tactics to grow their own portfolios.

He will also delve into the world of 5G—the next generation of wireless connectivity. I spoke briefly about 5G in the last edition of Western Grower & Shipper Magazine, but Tran will elaborate on how this fifth-generation technology will give consumers access to information faster than ever and make businesses more efficient. This includes complete transformations to companies dabbling in immersive education, surgical applications, autonomous cars and smart communities. More importantly for Western Growers members will be Tran’s take on which organizations will benefit most from the 5G rollout. He will discuss the various companies that will win financially as the world becomes connected to this improved technology, his reasoning behind owning these stocks and what he sees long term for 5G.

We are still adding additional speakers to our “Future of Finance” panel, but we guarantee that by the end of the session, you will walk away with an informed personal strategy for investment. Our goal at Western Growers Financial Services is to provide the services and resources that help create and preserve financial security for you, your family, your business, and your employees. Our informative session is just another tool in this toolbox to help YOU. The panel starts at 2:30 p.m. (HST) on Monday, November 11, at the Wailea Beach Resort, Marriot, Maui. Join us!

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WG Submits Comments on Glyphosate Proposed Interim Registration

September 10th, 2019

Recently, while the European Union was working to extend bans on glyphosate, Western Growers reinforced the need for science-driven policy and submitted comments to the Office of Pesticide Programs — Environmental Protection Agency to urge the continued registration and use of glyphosate.

“Western Growers writes to you today to offer our preliminary comments on the continued registration and use of glyphosate in our ongoing attempt to highlight the critical importance of this product to western fresh fruit, nut, and vegetable producers,” wrote Hank Giclas, the senior vice president of science, technology & strategic planning at Western Growers, in the letter.

“Not only is Glyphosate a unique tool that provides broad spectrum activity on weeds, at the same time it offers a strong safety profile for humans, animals, and the environment through systemic mechanisms and lack of residual activity. Put simply, it is easy to use, low in cost and has a low potential for adverse impacts,” he continued.

In the letter, Western Growers commended USEPA for their effort to preserve glyphosate as a viable tool for growers to combat weeds while at the same time enhancing ecological protection through new requirements for label language.

“Glyphosate is one of the most studied crop protection tools in the world, and there is a preponderance of scientific data that has been developed and compiled over the last four decades that demonstrates that glyphosate has a low potential for adverse impacts,” said Giclas. “It’s crucial that science, and not emotion, drives policy.”

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How to Navigate a Subjective Buyer

September 3rd, 2019

I shipped my customer a full truckload and upon arrival, they want to keep a portion of the load and reject the rest based off their in-house quality control inspector findings. Are they able to do that?

No, and it is important to understand your duties and obligations as well as your rights as a shipper. Even though you hear rumbles of it occurring within the shipping community, a buyer is not legally entitled when entering into a contractual agreement with a shipper to meet Good Delivery on a commercial unit and to subjectively “cherry pick” or “score” what they deem as acceptable vs unacceptable product, keeping only what they want and rejecting the balance. This is blasphemy and a technique used at times with large retailers or big box stores during times of oversupply or a declining market, to name a few.

Regardless of the buyer’s own subjectivity, the burden is on the buyer to prove that there has been a breach of contract on the entire truckload, or commercial unit, that was shipped which can only be validated by requesting a USDA inspection. That requested USDA inspection’s results provides a snapshot in time of the condition of the full load (or what is available for inspection) and determines the validity of said buyer’s claim.

As ethical, good-faith operators in the fresh produce industry, Buyers are not given carte blanche to arbitrarily do as they see fit and are bounded by the same fair trade rules and practices set forth by the USDA to ensure an equitable playing field.

Have any questions, comments or concerns that you would like guidance on? Please feel free to contact Western Growers Trade Practices Department’s Bryan Nickerson at 949-885-2392 or by email at [email protected].

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USCIS Advises Employers to Continue Using Expired Form I-9

September 3rd, 2019

On August 27, 2019, U.S. Citizenship and Immigration Services (USCIS) advised employers to continue using the Form I-9 for Employment Eligibility Verification that was released on July 17, 2017, and to disregard the August 31, 2019, expiration date printed on the form until further notice.

Western Growers will provide updated information about the new version of the Form I-9 as soon as it becomes available from USCIS, but no timetable has been given for the release of a new form. The new form will be available at www.uscis.gov/i-9.

Employers must complete and maintain the Form I-9 for all newly-hired employees to verify their identity and authorization to work in the United States.

For more information please contact Jason Resnick at (949) 885-2253

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CA Governor Signs SB 778, Updating Sexual Harassment Training Requirements

September 3rd, 2019

On August 15, California Governor Gavin Newsom signed Senate Bill (SB) 778, which updates the state’s sexual harassment training requirements. This law is an amendment to SB 1343.

With this new law, employers with five or more employees are required to provide the following:

  • A minimum of 2 hours of training and education regarding sexual harassment to all supervisory employees
  • And at least 1 hour of training and education regarding sexual harassment to all nonsupervisory employees in California within six months of their assumption of a position.

SB 778 permits employers who have provided training to an employee in 2019 to offer a “refresher” training to that employee two years thereafter (rather than the January 2021 deadline). This will avoid forcing employers who have already provided compliant training from having to do so twice in a single two-year period.

However, this would not be the case for employers who provided training in 2018. Employers with five or more employees who provided training in 2018 must provide sexual harassment prevention training and education by January 1, 2021, and thereafter once every 2 years. 

Western Growers offers its members supervisory training through both public and private sessions. Supervisors can participate in one of our upcoming Public Sessions:

  • Imperial: October 17th
  • Fresno: November 7th
  • Modesto: November 12th
  • Santa Maria: November 19th
  • Bakersfield: November 25th
  • Tulare: November 26th

Please contact Anna Bilderbach at (949) 379-3889 for additional information including scheduling and pricing.

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Help AgTech Startups Scale with a Chance to Earn $250,000 in Seed Funding

September 5th, 2019

Western Growers and S2G Ventures is seeking your recommendations for technology companies you are currently working with or believe have an interesting technology to compete in the 2019 AgSharks® Competition. Selected entrepreneurs will have the opportunity to earn a $250,000 minimum investment and access to farmland to pilot their innovations.

If any WG member is currently working with an agtech startup, help them scale by encouraging them to apply for AgSharks. All entrepreneurs and startups who are developing innovative solutions in food, agtech and agriculture are eligible to apply.

Applications can be submitted to www.wga.com/agsharks2019 and must be completed by Friday, September 20, 2019.

For additional information, read the full press release or contact Hank Giclas at (949) 885-2205.

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September 26 Meeting to Help Grow Your Sustainability Program

September 3rd, 2019

Join Western Growers, the Produce Marketing Association, Bayer CropScience, SISC, Sustainable Conservation, The Monterey County Sustainability Working Group and Measure to Improve on Thursday, September 26, 2019, for the “Sustainability In Action” meeting. This event will offer practical solutions to support growers, packer shippers and handlers in tracking and implementing sustainability actions in their own operations.

Consumers are eating fresher produce and putting more pressure on buyers for that produce to be grown, packed and shipped in more sustainable ways. Retailers and buyers are responding with more and more request for information on how their suppliers are managing sustainability. This meeting will help grow your sustainability program, both on farm and across supply chains

Hank Giclas, the senior vice president of science, technology & strategic planning at Western Growers will be kicking off the event with opening remarks. Click here to see the full list of speakers.

EVENT DETAILS

Sustainability In Action

Date: Thursday, September 26, 2019

Time: 10:00am – 3:00pm PDT

Location: CSUMB @ Salinas City Center, One Main Street, Salinas

Register: CLICK HERE TO REGISTER

For additional information, read the full invitation or contact Hank Giclas at (949) 885-2205.

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NIFA is Looking for Industry Relevance Reviewers

September 5th, 2019

The National Institute of Food and Agriculture (NIFA) is seeking 100 volunteers to serve as industry relevance reviewers for their Specialty Crop Research Initiative. Eligible candidates must be currently engaged in, or have been previously engaged in, specialty crop production, handling or processing. Trade association representatives who represent those in specialty production, handling and processing are also encouraged to apply.

Volunteers will need to commit about 15 hours between November 8 and December 13, 2019, where they will be assigned to a panel of reviewers and given a list of pre-applications covering topics as closely related to the individual’s expertise as possible. Reviewers will be asked to read, complete an evaluation form and prepare brief comments on each pre-application. These reviews will be uploaded into NIFA’s Peer Review System.

Once all reviews are complete, NIFA will host conference calls for each panel of reviewers to make decisions on which proposals to invite to submit a full application and what order of priority to apply to those invited. 

Space is limited, please express interest by October 15, 2019, by emailing [email protected] or  [email protected].

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The Digital Edition of September/October Issue of Western Grower & Shipper Is Available Now

September 10th, 2019

The September/October edition of Western Grower & Shipper highlights the industry’s first, featuring innovative practices that are changing the world. This issue is now available online. 

Some highlights from this issue include:

Hirakata Farms: A Century Long
Hirakata Farms has a legacy in Colorado that dates back more than a century, spans five generations and has survived countless changes in its lifetime.

Enhancing Access to Healthy Food
According to the California Department of Food and Agriculture, California is the world’s largest supplier of food and agriculture. Providing access to healthier food in underserved communities can benefit the nation as a whole. By working together, it’s possible to address the food desert issue, making healthy food options available for all.

Turning Today’s STEM Students into Tomorrow’s Ag Extraordinaires
A skilled labor deficit is plaguing the nation’s agriculture industry as more growers are turning to mechanization and digitization to bolster operations on the farm. In an effort to fill the ag workforce gap, WG launched a Careers in Ag Program in 2016 to encourage college students to pursue STEM careers within the ag industry. 

Law Firm Committed to Creating “Employers of Choice”
Mike Saqui grew up the son of a union organizer in heavily-unionized New Jersey expecting that someday he would come back home and help union members take back control of their union from less-than-ethical leaders.

CLICK HERE TO READ MORE FROM THIS ISSUE

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AB 1783 UFW Housing Bill Heads to Governor Newsom

September 12th, 2019

AB 1783 (Robert Rivas, Hollister) – a UFW bill that would make it more difficult to build safe and affordable farmworker housing in California – has passed the Assembly and Senate and now heads to the desk of California Governor Gavin Newsom for signing. Click here to see the official vote tally.

AB 1783 exacerbates the farmworker housing crisis in California for numerous reasons including the following:

Unworkable Permitting Process

  • AB 1783 creates a new permitting process for farmworker housing located on agricultural land.
  • However, this permit would not be available unless control of the operation is turned over to a third party that would then operate it under a 35-year deed restriction.
  • Under this mandate, the owner of the agricultural land would still retain ultimate responsibility for the housing and liability for any claims associated with its operation.

Prohibits State Funding for H-2A Housing

  • AB 1783 also discriminates in housing against farmworkers based on immigration status, which is counter to the Unruh Civil Rights Act.
  • The bill would prohibit state funding for the predevelopment, development and operation of housing utilized for H-2A employees.
  • Additionally, any state funding used for domestic worker housing – such as the $300 million for farmworker housing available from last year’s Proposition 1 – would have to be reimbursed to the state should H-2A workers be housed in the facilities at a later date.

Western Growers thanks all the members who contacted their respective Assemblymember and Senator to ask them to either stop AB 1783 or park it until reasonable amendments can be made. Western Growers staff will continue to reach out to Governor Newsom, urging him to veto AB 1783.

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Honor Nassif as 2019 Award of Honor with Congratulatory Ad

September 17th, 2019

Recognize Tom Nassif, this year’s Award of Honor recipient, with a custom, full-page ad. The deadline to submit your ad is this Friday—September 20, 2019. All ads will be prominently featured in the Award of Honor Dinner program at Western Growers’ Annual Meeting on November 12, 2019. 

Nassif has been named the 2019 Award of Honor recipient for his innovative approach to addressing key issues confronting agriculture and unprecedented influence in shaping the fresh produce industry. His passion for protecting the long-term viability of farms in California, Arizona, Colorado and New Mexico has directly resulted in laws and programs that will have a lasting impact on the industry.

Honor his achievements by submitting an ad! You may create your own ad design (specs: 4.5″ x 7.5″) or have it made by WG’s Marketing Team. If you would like to have the WG Marketing Team create the ad for you, please reach out to Diane Mendez at [email protected] or (949) 885-2372. All completed ads may also be submitted to Mendez.

CLICK HERE TO PURCHASE A CONGRATULATORY AD.

Congratulatory ads are $500. All proceeds from the ads go to the Western Growers Foundation. Additionally, WG is still taking reservations for the VIP Golden Circle Table at the Award of Honor Dinner. Each table reservation includes ten tickets for the dinner, two complimentary bottles of wine (one bottle each of red and white) and a congratulatory ad in the program. Click here to purchase a Golden Circle Table.

For more information about Nassif’s impact on the industry, read the full press release.

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