Farm Labor Shortages Grow as Rising H-2A Costs Pressure Producers

For agricultural producers, finding workers is only part of the challenge. The cost of hiring has also become a growing concern.

WASHINGTON, D.C. (RFD NEWS) — Labor shortages continue to challenge agriculture and other small businesses, with new data showing employers are struggling to find qualified workers.

The National Federation of Independent Business reports 27 percent of small business owners identified labor quality and availability as their biggest problem in the latest survey, up eight percentage points from June.

Hiring plans also climbed to their highest level since October 2022, while unfilled job openings increased to 36 percent. Half of employers reported finding few or no qualified candidates for available positions.

For agricultural producers, finding workers is only part of the challenge. The cost of hiring has also become a growing concern.

House Agriculture Committee Chairman, Rep. Glen “GT” Thompson, recently told RFD News that rising labor costs are putting additional pressure on farmers who rely on seasonal and agricultural workers.

“The cost of labor has surpassed, has passed the cost of inflation by 70%,” Thompson said. “And so a lot of our farmers when they first engaged in the program, and even in 1996, would say that it was the H2A program that saved them from bankruptcy. And in 2025, 2026, there are a lot of farmers who say today that because of the cost of the program and the increase in those wages, it’s the cause for bankruptcy.”

House agricultural leaders recently introduced the Securing Agriculture’s Workforce Act, legislation aimed at making the H-2A agricultural worker program more accessible for year-round agriculture.

“The need is significant and the time is right,” Thompson said.

Thompson said H-2A remains an important tool for some producers but needs an overhaul to address rising costs and other challenges.

Meanwhile, as lawmakers continue discussions surrounding the next Farm Bill, some producers are calling for greater representation in the policymaking process.

Iowa farmer Anna Pesek told AgInfo.net that small, independent and direct-to-consumer farms are often underrepresented at both the state and federal levels.

“Especially in this moment where we’re looking to the next Farm Bill, it’s really important that voices like mine are at the policymaking table,” Pesek said. “I live and farm in Iowa. And often my type of farm — small, independent, direct-to-consumer farm — we’re often unrepresented, both on the state level, but also on the federal level.”

With labor availability, rising costs and farm policy all placing pressure on producers, agricultural leaders say ensuring farmers have a voice in policy decisions will remain important as lawmakers work toward the next Farm Bill.

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Marion is a digital content manager for RFD News and FarmHER + RanchHER. She started working for Rural Media Group in May 2022, bringing a decade of digital experience in broadcast media and some cooking experience to the team.

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