Tomato Growers Offer Social Accountability Program
February 16, 2010 As a result of customer negotiations, members of the Florida Tomato Growers Exchange are offering a new social responsibility program that includes supplemental wages for workers and a code to guide employment practices.
On Oct. 7, 2009, the Exchange rescinded its policy prohibiting members from participating in wage-supplementation programs or providing payroll or personnel data to third parties for the purpose of wage supplementation, paving the way for the new program. The program is open to all retail and food-service customers of participating exchange growers, who represent about 75 percent of all fresh-market tomatoes grown in Florida.
The participating growers agree to pass through to their employees funds earmarked by their customers as supplemental wages. The program also includes a new grower code of conduct designed to dovetail with their customers’ own social responsibility programs.
“We are committed to this program, made possible through negotiations with our customers,” said Reggie Brown, FTGE executive vice president. “It allows us to meet our own standards, our customers’ expectations, and those of their customers and stakeholders.”
In addition to general employment practices, the code of conduct includes a system for migrant and seasonal workers to pursue work-related complaints. It also sets up an educational program to ensure workers understand their rights related to wages, hours and a safe workplace free of violence and harassment.
Each customer will determine the amount of supplemental wages to be paid to farmworkers, Brown said.
How the pass-through program works:
Based on its agreement with the grower, the participating customer determines the amount to be passed through to employees according to how much Florida product it has purchased from each grower during a given week. A check for that amount, plus another 15 percent for administrative, insurance and payroll tax expenses, is sent to the grower or growers. They in turn deposit the pass-through amount into an escrow account and the administrative portion into their company’s operational account.
The additional wages are paid from the escrow account to all of the growers’ migrant and seasonal employees based on the number of hours they worked. It is displayed on their paychecks as a separate line item.
The growers and their customers agree to be audited regularly to ensure the amount of tomatoes purchased and supplemental wages are accurately reported and correctly allocated to workers.
“Florida’s tomato growers believe that fair wages, safe working conditions, education and improved housing are meaningful, long-term ways to help improve the lives of farm workers and their families,” Brown said. “We are proud to be part of this solution with our customers.”
The Florida Tomato Growers Exchange is an agricultural cooperative of Florida tomato growers.
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