Policy Impact Analysis - 117/S/4480

Bill Overview

Title: Fairness for Farm Workers Act

Description: This bill extends overtime pay protections to agricultural workers. The bill requires employers, beginning in 2023, to compensate agricultural workers for hours worked in excess of their regular hours (i.e., 55 hours in 2023, 50 hours in 2024, 45 hours in 2025, and 40 hours in 2026) at not less than one and one-half times the employee's regular rate. For employers with 25 or fewer employees, the overtime pay requirements begin in 2026. These overtime pay requirements do not apply, as under current law, to employees who are the parent, spouse, child, or other member of the employer's immediate family. The bill also repeals the exemption from overtime pay requirements for employers in various agriculture-related industries, including certain small farms, irrigation projects, sugar processing, and cotton ginning and compressing.

Sponsors: Sen. Padilla, Alex [D-CA]

Target Audience

Population: Agricultural workers globally

Estimated Size: 1800000

Reasoning

Simulated Interviews

Farm worker (California)

Age: 34 | Gender: male

Wellbeing Before Policy: 6

Duration of Impact: 10.0 years

Commonness: 3/20

Statement of Opinion:

  • I work long hours and this policy seems fair. It would be nice to be compensated for the extra time I put in every week.
  • I hope the farm I work at can afford this change without cutting hours or jobs.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 6
Year 2 7 6
Year 3 8 6
Year 5 8 6
Year 10 8 5
Year 20 7 5

Farm worker (Florida)

Age: 45 | Gender: female

Wellbeing Before Policy: 5

Duration of Impact: 3.0 years

Commonness: 4/20

Statement of Opinion:

  • I don't think it will affect me much right now since I work on a small farm.
  • In the future, it could help me earn more if they start to pay overtime. It's good that they are considering smaller farms eventually.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 5 5
Year 2 5 5
Year 3 6 5
Year 5 6 5
Year 10 6 5
Year 20 6 5

Farm worker (Texas)

Age: 29 | Gender: male

Wellbeing Before Policy: 7

Duration of Impact: 7.0 years

Commonness: 5/20

Statement of Opinion:

  • This change might mean cutting back on other worker hours to make up for overtime pay.
  • I appreciate the policy's intention but am unsure about its practical effects on my job security.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 7
Year 2 7 7
Year 3 7 6
Year 5 7 5
Year 10 7 5
Year 20 6 5

Farm manager (North Carolina)

Age: 52 | Gender: female

Wellbeing Before Policy: 6

Duration of Impact: 5.0 years

Commonness: 2/20

Statement of Opinion:

  • We might need to rethink our staffing or production schedules if we have to pay overtime.
  • This policy is great for workers, but it's a challenge for us as a small operation.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 5 6
Year 2 5 6
Year 3 5 5
Year 5 6 5
Year 10 6 5
Year 20 6 5

Student (California)

Age: 23 | Gender: male

Wellbeing Before Policy: 8

Duration of Impact: 0.0 years

Commonness: 10/20

Statement of Opinion:

  • I think it's a progressive step for worker rights in agriculture.
  • As someone studying agriculture, I'm interested in how this policy will affect the industry in practice.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 8 8
Year 2 8 8
Year 3 8 8
Year 5 8 8
Year 10 8 8
Year 20 8 8

Policy analyst (New York)

Age: 40 | Gender: female

Wellbeing Before Policy: 7

Duration of Impact: 0.0 years

Commonness: 4/20

Statement of Opinion:

  • This policy could significantly improve the living conditions for many farm workers if implemented well.
  • It's a step towards more equitable labor standards in agriculture.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 8 7
Year 3 8 7
Year 5 8 7
Year 10 8 7
Year 20 8 7

Farm owner (Iowa)

Age: 50 | Gender: male

Wellbeing Before Policy: 5

Duration of Impact: 10.0 years

Commonness: 1/20

Statement of Opinion:

  • This will increase our costs significantly, and we're already running on thin margins.
  • We may need to implement limits on hours or hire more part-time workers to avoid overtime costs.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 5 5
Year 2 5 5
Year 3 5 5
Year 5 5 5
Year 10 4 5
Year 20 4 5

Small farm owner (Wisconsin)

Age: 31 | Gender: female

Wellbeing Before Policy: 5

Duration of Impact: 5.0 years

Commonness: 3/20

Statement of Opinion:

  • The future compliance requirements will require us to reassess how we schedule our workers.
  • It's a financial burden, but I support fair pay for hard work.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 5 5
Year 2 5 5
Year 3 5 5
Year 5 5 5
Year 10 5 5
Year 20 5 5

Farmer's cooperative worker (Washington)

Age: 37 | Gender: male

Wellbeing Before Policy: 6

Duration of Impact: 7.0 years

Commonness: 2/20

Statement of Opinion:

  • Many small farms I work with are worried about this policy's impact on their operation costs.
  • We will need to find ways to support these farms financially or operationally.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 6
Year 2 6 6
Year 3 6 6
Year 5 6 6
Year 10 6 6
Year 20 6 6

Grocery store worker (California)

Age: 27 | Gender: male

Wellbeing Before Policy: 7

Duration of Impact: 3.0 years

Commonness: 10/20

Statement of Opinion:

  • I support fair wages for farm workers.
  • I hope this policy doesn't cause price increases for the produce we sell.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 7 7
Year 3 7 7
Year 5 7 7
Year 10 7 7
Year 20 7 7

Cost Estimates

Year 1: $4350000000 (Low: $3900000000, High: $4800000000)

Year 2: $5000000000 (Low: $4500000000, High: $5500000000)

Year 3: $5850000000 (Low: $5250000000, High: $6450000000)

Year 5: $7100000000 (Low: $6300000000, High: $7900000000)

Year 10: $9650000000 (Low: $8600000000, High: $10700000000)

Year 100: $13500000000 (Low: $12000000000, High: $15000000000)

Key Considerations