Bill Summary
The "Farmworker Access and Retention Modernization Stability Act," or the "FARM Stability Act," aims to enhance the wage structure for H-2A agricultural workers by allowing the Secretary of Labor to establish an annual 2-tiered wage rate based on skill level. Specifically, it classifies workers into two categories:
1. **Skill Level I** for entry-level positions, and
2. **Skill Level II** for experienced workers with formal education or significant agricultural experience.
The legislation mandates that Skill Level II workers receive higher wages than their entry-level counterparts. Additionally, it introduces a compensation adjustment factor to account for housing provided to H-2A workers. This adjustment is calculated based on the average market rents for a four-bedroom unit and cannot exceed 30% of the relevant wage rate. Overall, the bill seeks to ensure fair compensation for agricultural labor while recognizing the varying levels of skill and experience among workers.
Possible Impacts
Here are three examples of how the proposed FARM Stability Act could affect people:
1. **Increased Earnings for Experienced Workers**: The establishment of a 2-tiered wage rate system allows for differentiated pay based on skill level. Experienced H-2A workers who possess formal education or significant experience in agricultural operations (Skill Level II) would receive higher wages compared to entry-level workers (Skill Level I). This could incentivize workers to improve their skills and qualifications, leading to increased earnings and potentially a better standard of living for them and their families.
2. **Impact on Agricultural Employers**: Employers utilizing H-2A workers may face increased labor costs due to the mandated wage differentiation and the annual compensation adjustment factor. While this could lead to better retention of skilled workers, it may also pressure employers to allocate more resources for labor costs, which could affect their overall profitability. Some employers might respond by increasing prices for consumers or seeking to automate certain tasks to offset higher labor expenses.
3. **Housing Considerations for H-2A Workers**: The act's provision to account for the value of housing provided to H-2A workers could lead to improved housing standards and conditions. By establishing a compensation adjustment factor based on fair market rents, the legislation aims to ensure that housing is both adequate and fairly compensated. This could enhance the living conditions for H-2A workers, making agricultural jobs more attractive and potentially reducing turnover rates among workers who might otherwise seek better housing options.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 4249 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
2d Session
S. 4249
To authorize, if applicable, the Secretary of Labor to annually
establish a 2-tiered wage rate for H-2A workers that distinguishes
between entry-level and experience-level workers and to annually
establish a compensation adjustment factor to account for the value of
housing provided to H-2A workers.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 26, 2026
Mr. Budd (for himself, Mr. Scott of South Carolina, Mrs. Hyde-Smith,
Mr. Boozman, Mr. Crapo, Mr. Ricketts, Mr. Tillis, Ms. Lummis, and Mr.
Wicker) introduced the following bill; which was read twice and
referred to the Committee on the Judiciary
_______________________________________________________________________
A BILL
To authorize, if applicable, the Secretary of Labor to annually
establish a 2-tiered wage rate for H-2A workers that distinguishes
between entry-level and experience-level workers and to annually
establish a compensation adjustment factor to account for the value of
housing provided to H-2A workers.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLES.
This Act may be cited as the ``Farmworker Access and Retention
Modernization Stability Act'' or the ``FARM Stability Act''.
SEC. 2. ANNUAL WAGE RATES AND ADJUSTMENTS FOR H-2A WORKERS.
Section 218(a) of the Immigration and Nationality Act (8 U.S.C.
1188(a)) is amended by adding at the end the following:
``(3) If the Secretary of Labor determines a minimum wage rate
other than the Federal or State minimum wage rate applicable to
agricultural employment is required to be paid to H-2A workers, the
Secretary shall--
``(A) annually establish a 2-tiered wage rate based on the
skill level required for H-2A occupations that--
``(i) classifies positions requiring entry-level
workers as Skill Level I;
``(ii) classifies positions requiring experience-
level workers with formal education, training
certificates, or significant experience in agricultural
operations as Skill Level II; and
``(iii) sets the wage rate for Skill Level II H-2 A
workers higher than the wage rate for Skill Level I H-
2A workers; and
``(B) account for the value of housing provided to H-2A
workers by--
``(i) annually establishing a compensation
adjustment factor to the wage rate established for each
State pursuant to subparagraph (A);
``(ii) computing such compensation adjustment
factor as an equivalent hourly rate based on the
weighted statewide average of fair market rents for a
4-bedroom housing unit available from the Department of
Housing and Urban Development; and
``(iii) keeping such compensation adjustment factor
at or below 30 percent of the relevant wage rate
established pursuant to subparagraph (A).''.
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