New Republican Backed Bill Supports Farmworkers And Employers
Sacramento, CA – Grape growers and the state’s farm bureau are co-sponsoring a new Republican bill for farmworkers and employers, boosting pay and helping farmers using a tax credit.
Senator Shannon Grove (R-Bakersfield) introduced legislation, SB 628, to create a tax credit for agricultural employers to cover the costs of providing overtime wages to farmworkers. The bill, co-sponsored by the California Association of Winegrape Growers (CAWG) and California Farm Bureau, aims to increase farmworkers’ opportunities to earn overtime pay while providing relief to struggling agricultural businesses.
“California’s farmers and farmworkers are the backbone of our agricultural economy. Unfortunately, overtime mandates have made it harder for farmworkers to get the hours they need and for growers to get their product to market,” said Senator Shannon Grove. “SB 628 is a commonsense solution that ensures farmworkers have more opportunities to earn while providing relief to our agricultural businesses that sustain the world’s food chain supply.”
SB 628 would establish a payroll tax credit allowing agricultural employers to offset the cost of overtime wages paid to their employees. Bill supporters say this would help increase available overtime hours for farmworkers, boosting their take-home pay and supporting financial stability in rural California.
“In 2016, when AB 1066 (Gonzalez) was approved to phase in agricultural overtime, growers warned that this new law would ultimately reduce farmworkers’ earnings,” said Natalie Collins, President of the California Association of Winegrape Growers. “Today, with the smallest winegrape harvest in 20 years, growers are struggling to stay in business. If legislators genuinely want to increase take-home pay for farmworkers, growers are going to need support from Sacramento to make it possible.”
Recent University of California, Berkeley research highlights those concerns by showing that California farmworkers have been earning less since the “Phase-In Overtime for Agricultural Workers Act of 2016” became law. Other states, such as Oregon and New York, have recognized the unintended consequences of agricultural overtime laws and acted to ensure farmworkers can still earn overtime pay. Bill supporters are advocating for a policy that increases farmworker earnings and provides relief to an industry facing unprecedented financial challenges.
