“The political forum is just one more place where farmers’ power seems to be slipping away. Concomitantly, agriculture and food system outsiders’ influence over farm policy appears to be gaining ground.”

– Ray A. Starling in Farmers versus Foodies:

A Look at the Outside Forces Forging the Future of Farming and Food.

Food safety, food security and food policy play a critical role in ensuring the availability, accessibility and safety of food. If we search on the internet, we will find that food policy impacts all of us because it encompasses laws and regulations to manage food production, distribution, consumption and safety, impacting food choices and the information consumers receive about food. Focusing on the effect of the latter, the information available to consumers influences their food choices and the nutritional quality of consumers’ diets. If we search for the meaning of “activism,” we will see it is a practice of taking action to effect social, political, economic or environmental change. But change does not necessarily result in improvement.

This story is not about activism or bad policies but instead addresses the need for public-private collaboration and the importance of data-driven decision making to inform effective policy. We live in an era where anyone can state “facts” without supportive evidence or where pieces of partial and incomplete information are used to present or misrepresent the whole or the entire picture. Now, more than ever, collaboration and data-driven information is crucial.

In the last 50 years, the domestic production of fresh produce in the U.S. has continued to shrink, while the cost of producing food in the U.S. continues to increase. Based on U.S. Department of Agriculture (USDA) Economic Research Service data, the domestic production of top specialty crops consumed in the U.S. has been declining or remained relatively steady while the imported volume of these crops has continuously increased at a high rate. See a few examples below (lettuce, tomatoes, onions, bell peppers, grapes).

According to the ERS, all farm production costs for major crops have risen since 2020, with individual cost increases ranging from 2 percent to 78 percent, while the farm share of total food dollar expenditure has been declining (e.g.,14.9 cents in 2022 from 15.2 cents in 2021). The average price of food in the U.S. increased 2.2 percent in the 12 months ending in June, according to the latest inflation data published July 11, 2024, by the U.S. Labor Department’s Bureau of Labor Statistics (BLS).

The cost increase is impacted in part by regulatory and buyer demands. Regulatory and buyer demands are meant to ensure the safety and availability of food but can at times be influenced by public pressure created by distorted activism. For instance, based on media reports, it is easy to believe that foodborne illness outbreaks attributed to fresh produce are increasing because the industry is not doing enough to prevent outbreaks.

Based on this media-driven premise, demanding new requirements makes sense. However, the media and activists rarely explore or report on other factors affecting food safety, such as weather events, wildlife population explosions, urban encroachment, the enhancement in detection methods in recent years (e.g., the increased use of technologies such as whole genome sequencing), or even the government’s changes to the definition of foodborne outbreaks.

When we engage in a reactive approach that tends to add regulatory requirements regardless of whether they will truly enhance the safety of the food supply, we continue to promote an economically unsustainable approach that will likely drive many operations out of business. While public health is a necessary cost, efforts should focus on continuous, measurable improvements and data-driven preventive measures, rather than on reactive regulations that come with high uncertainty and overlook gaps in scientific knowledge.

According to Professor Timothy Lytton in his article Known Unknowns: Unmeasurable Hazards and the Limits of Risk Regulation: “When known unknowns cause harm, public pressure often leads Congress to mandate that agencies establish specific, science-based thresholds for acceptable risk. In response, regulators, who lack scientific evidence to justify such rules, face a choice: they can either delay the rulemaking process or fabricate a scientific justification.”

We face many known unknowns in food safety. That is why it is critical to recognize knowledge gaps and advance science where we can address the remaining uncertainty. We are countering two polarized positions – advocates for robust government intervention vs. unregulated markets – both of which do little to address the effectiveness of regulation and the integrity of private governance. It is time to counter extremes with private-public cooperation and collective learning that can yield better results and support food safety and security.

Do you grow seedlings for yourself or others? Are they in trays in the open, or housed in a greenhouse? If so, there’s a high likelihood that your current insurance coverage has some significant gaps. Many standard property insurance policies either exclude or severely limit the amount of coverage for growing crops. So, how do you protect the value of your seedlings against potential loss?

When it comes to growing seedlings, whether for your own crops or others, safeguarding your investment is crucial. Seedlings are vulnerable to a myriad of risks that can lead to substantial financial losses if not properly insured. Understanding these risks and how to mitigate them with the right insurance coverage, is essential for any grower.

Several risks can threaten your seedlings, including:

1. Loss of Electricity: In the event of a power outage, essential systems, like pumps and water delivery mechanisms, cease to function. This can lead to dehydration and heat stress, ultimately damaging or killing the seedlings.
2. Disease: Seedlings are highly susceptible to diseases, which can spread rapidly in confined environments, such as greenhouses. Without appropriate coverage, an outbreak can result in significant losses.
3. Excess Heat or Wind: Seedlings are highly susceptible to diseases, which can spread rapidly in confined environments, such as greenhouses. Without appropriate coverage, an outbreak can result in significant losses.

To illustrate the importance of adequate insurance coverage, consider a recent case involving a Western Growers member. This grower’s coverage, like many others, was negatively impacted by the limitations of standard property insurance. The grower had to settle for a cobbled-together policy provided by their agent. This policy came with higher premiums, reduced coverage and a much higher deductible per building, essentially leaving the grower self-insured. A fire damaged a utility pole, knocking out their water pumps, which left their seedlings at risk.

Recognizing the unique challenges faced by growers, we represent a carrier that specializes in nursery operations. This carrier understands the specific needs of covering seedlings, whether they are in greenhouses, pots or trays in the open. The benefits of choosing a specialized insurance provider include:

1. Comprehensive Coverage: Tailored policies that address the unique risks associated with growing seedlings, ensuring that you are protected against common threats, such as disease, extreme weather and equipment failures.
2. Competitive Pricing: Affordable premiums that provide value without sacrificing the quality of coverage. This allows growers to invest in insurance without straining their budgets.
3. Expert Claims Adjusters: Professionals who understand nursery operations and can accurately assess and process claims, ensuring that you receive the support and compensation you need in the event of a loss.

For growers, peace of mind comes from knowing that their investments are protected. By opting for a specialized insurance provider, you can ensure that your seedlings are adequately covered against various risks. This protection allows you to focus on what you do best—growing healthy, vibrant plants—without the constant worry of potential financial setbacks.

Don’t settle for inadequate coverage that leaves your seedlings and your financial future at risk. Choose a specialized insurance policy designed to meet the specific needs of nursery operations. With the right coverage, you can mitigate risks, secure your investment and cultivate your seedlings with confidence. Reach out to us today to learn more about our tailored insurance solutions for growers and take the first step toward comprehensive protection for your nursery operations.

The remarkable evolution from apprentice to visionary is a tale as old as time, a story often told to inspire those looking to enhance their career paths or reinvigorate their lives.

The recipient of this year’s Western Growers’ Award of Honor takes the myth and puts a human face on it. WG Board Member Sonny Rodriguez, the President and CEO of The Growers Company, has an inspiring legacy rooted in his family’s support and values, starting with his father, Joe L. Rodriguez, who – even with just an 8th grade education – profoundly influenced his son’s journey.

Understanding the value of hard work is best learned at a young age, and Rodriguez’s father made sure of that. Sonny’s first job was grueling and consisted of spending 12 to 14 hours a day picking up empty burlap sacks behind the onion grading crews—a task he describes as the “dirtiest and smelliest job” he’s ever had.

With his father’s wisdom and relentless drive influencing his path, Rodriguez achieved his goal of graduating from Arizona State University in 1975 with a degree in Business Administration. At the time, Rodriguez overlooked the significance of this accomplishment. “It didn’t dawn on me until later that I was a first-generation college graduate,” Rodriguez explained. “That’s a big deal.”

But that was only the beginning. After nearly 50 years of impacting and revolutionizing the fresh produce industry, Western Growers will honor Rodriguez at the 98th Annual Meeting in November. The Award of Honor is Western Growers’ highest recognition of achievement and is given to individuals who have contributed extensively to the agricultural community.

Rodriguez recalls the moment he found out he had been selected for this year’s Award of Honor at the Western Growers board meeting in Sacramento earlier this year.

“I was shocked. I looked up, and for the first time in my life, I was at a loss for words. I’m not a grower. This board is made
of growers and shippers, so never in my wildest dreams did I ever think I was going to get this award as a labor contractor,” Rodriguez said.

“The Western Growers Award of Honor is typically bestowed on the growers for whom this association was created in 1926,” said Western Growers President and CEO Dave Puglia. “This year, we break with that practice to honor Sonny Rodriguez. Sonny ensures that his customers – growers of fresh produce – can be confident that their crops will be expertly tended and harvested by skilled farm employees, and he does this with the highest commitment to integrity, ethical conduct and compassion for all.

“Sonny started working in the fields as a teenager and has never strayed from the values his father inculcated in him, none more important than treating every worker with dignity and respect.

Few in our industry have done as much to educate elected leaders and government officials about the many positive contributions – and the many challenges confronting – America’s fresh produce industry. He is a respected and well-known advocate for agricultural labor reform that would honor the work of our farm employees and bring rationality to the industry,” Puglia said.

With more than a half a century of experience in providing labor services to farmers in Arizona and California, Rodriguez is truly a man of the people, embodying integrity, fairness and opportunistic employment for all of his workers.

“There is a farm worker behind every piece of produce that we can buy at our convenience,” Rodriguez said. “I see what these workers go through, and I’ve gotten to know them on a personal level. I want everyone to appreciate what they do, and that’s why I became a champion of protecting the farmworkers.”

Founded by his father Joe to provide labor services to farmers in the Glendale, Ariz., region, The Growers Company offered custom produce harvesting since 1950 and is a third-generation family business. Rodriguez joined the company in 1975 and today serves as its President and CEO. Headquartered in Yuma, Ariz., with offices in Huron and Salinas, Calif., the company harvests lettuce, mix lettuce, cauliflower, broccoli and many other commodities.

The business has always been guided by principles that emphasize acknowledging the people who make everything possible, starting with its very name. “My father’s philosophy in picking the name The Growers Company was, ‘We are nothing without the people who do the work,’ and ‘We are nothing without the farmer to give us the work.’ He said our job is to create a balance that is mutually beneficial to both,” Rodriguez said.

The story of The Growers Company is one of tradition—a tradition that has demonstrated sustainability through perilous worker strikes, uncertain immigration policies and mounting regulations, explains Rodriguez. Throughout his career, Rodriguez has faced significant hurdles and challenges, which he regards as the most influential and impactful lessons he has learned.

“My first realization that there was more to just packing a box was when we failed our DOL housing inspection at our Casa Grande [Ariz.] housing site,” he said. But rather than become angry, Rodriguez went on to forge a valuable relationship with the representative from the U.S. Department of Labor who initially failed him.

“I’ll never forget that. We became good friends, and she guided me through regulations,” he said. “I learned not to fight the regulations, but to comply with them, and participate in changing them—and that takes getting involved.”

This served as the catalyst for Rodriguez to assist in creating a free Arizona/California Seminar to educate employers, a program that has continued for 17 years. “Western Growers has partnered with us since day one,” Rodriguez said.

“As I reflect, it has been a grind, but it has been fruitful, and the relationships we have made along the way are wonderful and unmatched.”

The Growers Company has been a member of Western Growers since 1978, and Rodriguez was first elected to serve on the board in 1998. The Award of Honor will be a distinguished addition to his extensive list of significant accomplishments. Rodriguez is a graduate of Project CENTRL Arizona Leadership Program’s Class XII and served on the Agricultural Employment Relations Board from 1995 to 2005. He was active in the Yuma Vegetable Shippers Association for 15 years.

In addition, Rodriguez is one of the founders of Yuma Catholic High School. “I have accomplished a lot of good things in my life, but being part of starting Yuma Catholic High School tops my list,” he said.

His numerous recognitions include Employer of the Year in 1998, 1999 and 2000 by Campesinos Sin Fronteras; Citizen of the Year 2000 by the Knights of Columbus; Philanthropist of the Year 2011 by the Yuma Community Foundation; Heart of Yuma 2020 by the Yuma Community Foundation; and the Sower Award 2023 by Campesinos Sin Fronteras.

Rodriguez served on the Diocese of Tucson Charity and Ministry Board for six years, was chairman of the St. Francis Parish Board for three years and Hospice of Yuma Board for two years of his six-year term. Rodriguez also set up funds with the Yuma Community Foundation to fund them in perpetuity for Yuma Catholic High School, St. Mary’s High School, Yuma Young Life, Yuma Food Bank and St. Vincent de Paul.

“You know, I have gotten a few awards from time to time, but serving is not about the awards. What’s near and dear to me is immigration reform. Let’s take care of those people who have been here, who have worked for us, who are in the shadows. It’s about making your community better,” Rodriguez said. “I am just a small grain in the sand.”

This is part one of a two-part series on food safety and sustainability.

At what point in time does a plant become food? Why would that moment in time matter, and how would we know when it occurs?

Food, by the nature of its purpose, should nourish the body and not introduce negative health outcomes. Fresh produce is one of the healthiest food categories, supplying vitamins, antioxidants and overall nutrition to support a healthy body. Unfortunately, fresh produce has had its share of food safety-related incidents, highlighting the challenge of producing fresh food in complex ecosystems where even the best efforts to control human health hazards occasionally come up short.

It is difficult to describe the challenges of producing safe produce when the crop system, and item, are subject to uncontrollable forces, such as climate, wind, adjacent land activities—and on a cellular level—bacterial pathogens’ biological adaptations for survival. Simply stated, our food grows where other organisms live.

As a result, productive agronomic systems must coexist with other organisms and communities and acknowledge that food grows in an ecosystem far more complex than the crop tended. Produce food safety is an amalgamation of interdisciplinary research, agronomic practices and thoughtful intention by growers to achieve food safety. The factors needed for food safety are the same as those needed to develop agricultural systems that perpetuate environmental resilience.  When looking at it this way, sustainability and food safety are inextricably intertwined, dependent on the same research, knowledge and understanding of the broader complex ecosystem.

Given the common challenges and scientific characteristics shared between sustainability and food safety efforts, it is unfortunate to hear an increasing narrative that sustainability and food safety goals are at odds with one another. This topic of discussion began to build momentum following produce outbreaks in the early 2000s and has been becoming more frequent as new sustainability programs, certifications and label claims have been introduced and adopted.

Despite the increasing references to the perceived conflict, there are no agricultural practices that are solely “safe” or “unsafe” for any produce item or environment. Instead, there is a spectrum of agronomic practices that can be used to propagate a crop, and all practices may have the potential for hazard introduction and system imbalance, and they ultimately have an impact on the final risk to consumers.

Sustainability: What’s in a name?

Sustainability is an encompassing term with many meanings across businesses, systems and regulations. The concept of sustainability as it applies to business began to form after its appearance on the world stage in the 1987 Brundtland Report, also known as “Our Common Future,” by the United Nations World Commission on Environment and Development. The Brundtland Report built the foundation for approaching sustainable development in the 20th century and has helped define overall sustainability goals as “development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

In the decade following the Brundtland Report, businesses across the globe began introducing corporate social responsibility (CSR) programs and brought to life concepts, such as the “triple bottom line,” an approach for sustainability that includes the social and environmental impacts alongside the overall financial performance for a company.

Sustainability responsibilities and efforts have grown over the years, with increasing reporting and transparency requirements for both publicly traded companies and privately owned businesses, with efforts generally aligned on establishing reporting requirements at all levels of supply chains and operations.

In recent years, sustainability’s meaning has further expanded to more explicitly incorporate efforts aimed at addressing climate change, resource depletion, social equity, food security and overall community well-being. To address the need for harmonization of sustainability approaches across the globe and industries, the Global Reporting Initiative (GRI) was formed in 1998 to attempt to deliver consistency, a universal framework and language, transparency and accountability around systems for reporting sustainability metrics. As of 2024, GRI houses various sustainability reporting standards and guidelines with each program attempting to capture industry-specific nuance and needs.

In agriculture, sustainability has always been an integral part of a grower’s business plan, even if it was not directly identified or intentionally curated. An agricultural entity that ceases to produce crops productively year-over-year would most certainly not be
a sustainable business, and as such growers have always had to, in some capacity, prioritize resource management to ensure that their land stewardship would ensure the long-term economic productivity of their business.

However, just because farming and sustainability have always been linked, doesn’t mean that they have been optimized for long-term sustainability from a business and/or environmental perspective. As time has progressed, continued scientific learnings and advancements have better characterized the impacts of agronomic practices and have informed the development of approaches that better contribute to promoting and maintaining natural resources.

While all growers consider resource management in some capacity, many in agriculture are quickly selecting practices that specifically foster improvement in soil health, water quality and biodiversity, with the overall goal of establishing agricultural ecosystem resiliency. The critical importance of agricultural resiliency goes far beyond immediate food demands and sustainability programs; resiliency is the core tenet to future generations’ abilities to maintain the ability to sustain populations and continue to thrive.

Long-awaited changes to the Private Attorneys General Act (PAGA) bring much needed relief for California employers who take advantage of the opportunity.

The Private Attorneys General Act of 2004 allows employees to sue their employers on behalf of the state for Labor Code violations, effectively deputizing private citizens to enforce labor laws. This unique mechanism has led to a significant increase in litigation, often resulting in costly settlements and judgments for employers. PAGA lawsuits have resulted in more than $10 billion in payments from employers since 2016, with a significant chunk going to lawyers. It is widely reported that PAGA has been abused by plaintiffs’ attorneys, resulting in frivolous lawsuits that burden businesses without significantly benefiting employees.

Key Changes

The reformed PAGA legislation introduces several changes aimed at addressing these concerns while maintaining protections for workers. Here are the most notable aspects of the new law:

1. Requirement for Personal Violations

Under the new legislation, employees can only seek penalties for labor code violations they have personally experienced within the year before filing a notice. This change limits the scope of PAGA claims to individual grievances, reducing the likelihood of broad claims based on violations experienced by others.

2. Reduced Penalties

• Wage Statement Violations: Penalties for wage statement errors are reduced to $25 per pay period if the employee can easily verify the required information or is not misled about employer identity. This adjustment significantly reduces potential liabilities for employers over technical errors.

• Default Penalty Limits: For violations lacking specified penalties, the default is capped at
$100 per employee per pay period. This cap is lowered further in cases of isolated or minor infractions, potentially reducing penalties to$25 or $50 per pay period.

•Weekly Pay Cycle Penalty Reduction: Employers who pay weekly, such as farm labor contractors, now benefit from a 50 percent reduction in penalties for violations across pay periods. This change addresses the previous penalty structure that arbitrarily and disproportionately affected employers with more frequent pay schedules.

3. Penalty Reductions Through Compliance Efforts

Employers who proactively work to comply with labor laws can see their penalties reduced. Measures include:

• Conducting regular payroll and compliance audits.
• Maintaining clear and lawful written policies.
• Training management on labor law requirements.
• Correcting any identified issues promptly.

Penalties can be reduced to 15 percent if “all reasonable steps” are taken before a PAGA notice is received or to 30 percent if implemented within 60 days of receiving a notice.

4. Limitations on Penalty Stacking

Employees are restricted from accumulating multiple penalties for related infractions unless there is clear evidence of intentional wrongdoing by the employer. This change helps prevent exaggerated penalty claims, allowing for fairer outcomes.

5. Judicial Oversight and Case Management

Courts are now empowered to manage PAGA claims more effectively by:

• Adjusting penalties based on the specifics of each case.
• Limiting the scope and evidence in trials.
• Consolidating overlapping claims to
streamline proceedings.

This enhanced judicial oversight aims to prevent unwieldy litigation, granting courts and employers more control over legal processes.

Opportunities for Early Resolution
The reforms introduce procedures for early resolution, offering pathways to resolve potential violations before they escalate
to litigation.

• Small Employers (under 100 employees): Can propose resolution plans to the Labor & Workforce Development Agency (LWDA) and negotiate settlements in a structured setting.
• Large Employers (over 100 employees): Can request an evaluation meeting after a PAGA lawsuit is filed
to discuss the factual basis for claims and potential resolutions, reducing legal costs and addressing
issues early.

Encouragement to Correct Violations

Employers are incentivized to rectify labor code violations promptly. This involves complying with relevant statutes, compensating employees for any owed wages, and providing necessary documentation to correct errors.

Miscellaneous Changes

• The share of PAGA settlements that go to aggrieved employees has increased from 25 percent to 35 percent, while the LWDA’s portion has decreased from 75 percent to 65 percent.
• The new requirement for personal violation does not apply to existing nonprofit legal aid organizations, allowing these groups to continue filing PAGA claims on behalf of affected workers without being subject to the new standing requirement.
• Courts can now issue injunctive relief under PAGA, providing plaintiffs a legal tool to stop ongoing violations and enforce compliance beyond financial penalties.

Practical Strategies for Employers
To leverage these reforms, employers should take “all reasonable steps” to proactively come into compliance by taking the following measures:

• Regular Audits: Routinely evaluate payroll, wage statements and employment practices to ensure compliance with labor laws.
• Swift Remedial Action: Address and rectify any issues promptly, communicating corrections to employees as necessary.
• Active Engagement: Respond promptly to LWDA notices and requests, focusing on early resolution to avoid litigation.
• Policy Updates and Training: Ensure employment policies are current and that supervisors are trained on compliance standards.

Conclusion

Western Growers played a significant role in the FIX PAGA coalition, representing non-profits, social justice advocates, family farmers, health care providers and businesses, which worked with Gov. Gavin Newsom and legislators in enacting this historic reform into law.

PAGA reform marks a significant shift in California’s PAGA landscape, offering new opportunities for reducing litigation risks. While there is much to be proud of in terms of potentially reducing the frequency and severity of PAGA claims writ large, the new law is a compromise borne out of tough legislative negotiations and is not a panacea. While the new law will bring much needed relief for California employers, PAGA litigation in California isn’t going away anytime soon.

The September/October 2024 digital issue of the Western Grower & Shipper magazine is now available online.

This issue features the articles “The Larger Meaning of PAGA Reform,” “A Front Row Seat to Leadership and Personal Character,” “Growing for Sustainability” and more.

The cover article spotlights WG Annual Meeting Award of Honor recipient Sonny Rodriguez, President and CEO of The Growers Company, and shares the story of his outstanding career and the lasting impact he’s made on the fresh produce industry.

Click here to read more.