Federal court upholds enforcement of new AEWR wage rule

In what’s being called a big win for farm employers, a federal judge in California has denied a request from the United Farm Workers (UFW) union to temporarily stop enforcement of a revised federal wage rule affecting H-2A agricultural workers, allowing the regulation to remain in place while litigation continues.

The case centers on the U.S. Department of Labor’s interim final rule that changed how Adverse Effect Wage Rates (AEWR) are calculated for non-range H-2A occupations. The revised methodology uses a skill- and occupation-based structure that supporters say provides more flexibility for agricultural employers.

In its ruling, the U.S. District Court for the Eastern District of California found that plaintiffs failed to demonstrate irreparable harm necessary for a preliminary injunction. The court also noted delays in seeking emergency relief.

Agricultural employer groups welcomed the decision, saying the rule provides greater wage stability and labor planning certainty for growers using the H-2A program. The lawsuit challenging the rule will continue.

Western Growers and the National Council of Agricultural Employers (NCAE) were among several groups which filed an amicus brief supporting DOL’s position.

“We applaud the court’s decision to deny the UFW’s request for preliminary injunction on the Department’s AEWR Interim Final Rule,” NCAE president and CEO John Hollay said in a statement. “For too long, employers have been forced to pay wages that were detached from economic reality and put American agriculture at strategic disadvantage on the international market.”