The U.S. Department of Labor has recently published its notice announcing the updated Adverse Effect Wage Rates (AEWRs) that will be effective from January 1, 2024. The AEWR is the minimum hourly wage rate that the DOL has determined must be offered and paid by employers to H-2A workers and workers in corresponding employment to prevent adverse effects on the wages and working conditions of similarly employed U.S. workers.

Examples of 2024 AEWRs include:

– California: $19.75 per hour

– Arizona and New Mexico: $16.32 per hour

– Colorado and Nevada: $16.63 per hour

The rates track the USDA’s annual Farm Labor Survey and are applicable for field and livestock worker occupations (SOC codes: 45-2041, 45-2091, 45-2092, 45-2093, 53-7064, 45-2099), which represent the majority of agricultural jobs under the H-2A program.

For occupations not represented by the current Farm Labor Survey (FLS) data, the AEWRs are set using the Bureau of Labor Statistics (BLS) Occupational Employment and Wage Statistics (OEWS) program.

The average AEWR applicable for the computation of surety bonds that must be procured by H-2A Labor Contractors is $16.98 per hour.

Important Reminder on Multiple SOC Codes: When a job opportunity encompasses tasks that fall under two or more Standard Occupational Classification (SOC) codes, it is important to understand how the Adverse Effect Wage Rate (AEWR) is determined. In such cases, the applicable AEWR for the entire job opportunity will be the highest wage rate among all the relevant SOC codes. This holds true even if the worker spends a minimal amount of time on tasks associated with the higher-paying SOC code compared to their primary, lower-paying tasks.

For more detailed information or information about Western Growers H-2A Services, contact WG Sr. Vice President and General Counsel, Jason Resnick.