An act to add Section 1208 to the Labor Code, relating to employment, and making an appropriation therefor.
AB 2646 would add a new Labor Code section establishing a minimum hourly wage of $19.75 for “approved agricultural employees” and “corresponding employees.” The bill defines approved agricultural employees as out-of-state agricultural workers hired on a temporary or seasonal basis through an approved application or job order, and corresponding employees as in-state workers or other non-approved agricultural workers doing the same or substantially similar work for the same employer in the same county. The wage floor would apply to both groups, and the bill would require annual inflation adjustments beginning January 1, 2027, tied to the Social Security cost-of-living adjustment.
The bill also clarifies that temporary or seasonal employment generally means work lasting no longer than one year, except in extraordinary circumstances. By directing wage collections into the Industrial Relations Unpaid Wage Fund and expanding the use of those moneys, the bill is described as making an appropriation. It also states that no state reimbursement to local agencies or school districts is required.
In practical terms, AB 2646 would change California wage law for a specific segment of agricultural employment by setting a higher, indexed minimum wage standard for both certain temporary out-of-state farmworkers and similarly situated workers in the same county. It would affect agricultural employers, the Labor Commissioner’s enforcement role, and the Industrial Relations Unpaid Wage Fund, while also potentially increasing compliance obligations and wage costs in the agricultural sector.
The general sentiment reflected in the available voting history is favorable. The bill received a unanimous 5-0 do-pass vote in one committee action and later advanced from committee with a majority vote of 4-1, suggesting support for the wage increase and its indexing mechanism. The absence of transcript material limits insight into detailed debate, but the committee outcomes indicate the measure has moved forward with meaningful support.
The main point of contention appears to be the policy and fiscal impact of mandating a higher wage for agricultural labor, especially for employers relying on seasonal or temporary workers. Because the bill applies to both approved out-of-state workers and corresponding in-state workers, it may raise concerns about labor costs, competitiveness, and enforcement complexity. The bill’s designation as an appropriation and a state-mandated local program also signals fiscal and administrative issues that may have driven the referral to Appropriations.
AB 2646 would add Section 1208 to the Labor Code and create a new minimum wage rule specific to agricultural employment. It would require covered agricultural employers to pay at least $19.75 per hour to approved agricultural employees and corresponding employees, with annual cost-of-living adjustments starting in 2027. The bill would also affect the Industrial Relations Unpaid Wage Fund by increasing revenues and expanding the purposes for which those funds may be used, and it would be treated as an appropriation. In addition, because it expands the scope of wage-related enforcement obligations, it is identified as creating a state-mandated local program, though the bill states no reimbursement is required.
The available legislative history suggests generally positive sentiment toward the bill. It advanced out of committee with a unanimous vote at one stage and later with a majority vote, indicating that most members present supported the measure. No committee transcript is available here, so the record does not show detailed arguments, but the vote pattern points to broad acceptance of the bill’s wage-setting approach.
The likely areas of contention are the higher wage mandate for agricultural employers, the cost impact on seasonal and temporary farm labor, and the administrative burden of enforcing a special wage category for approved out-of-state workers and their corresponding employees. Opponents or skeptics may focus on increased labor costs, potential effects on farm operations, and the complexity of defining and tracking who qualifies as an approved agricultural employee. Supporters are likely to emphasize wage equity, inflation protection, and stronger labor standards for agricultural workers.