According to a labor cost study for Washington Apples, labor costs consumed 99% of grower net returns per bin in 2023. That figure is considerably higher than the 37% per bin reported in 2013. Mark Powers, President of the Northwest Horticultural Council said this data supports what growers have been saying for the past couple of years. He said if there was a surprise for the three fruit industry, is how bad things have gotten for apple growers.
“We started in 2013 for a reason and then we had the data, or we were able to get the data on crop returns through 2022 crop,” Powers said. “And that was wrapping up in the summer basically when we were able to get that information pulled together and at that point people were, you know, really concerned about 2023. And so he said, well, can we get that information as well? And that’s where the 99% of the growers returns going to pay for labor.”
Published in the December 1, 2024 issue of Good Fruit Grower magazine
Powers noted in 2013, use of the H-2A program really began to grow in Washington. He added the industry’s reliance on the H-2A program means that the federal policies controlling the program, including how wages are set have a direct impact on whether growers can continue to operate or not.
“People can say, ‘well, you guys are making up’. We’re not making this stuff up. I mean it’s coming from actual business data; and you know there are likely to be some growers that maybe they’re in a little bit better situation and there are more likely growers that are in a little bit worse situation, but I think it’s very representative,” Powers added.
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