Capital press., May 18, 2018, Page 9, Image 9

May 18, 2018
CapitalPress.com
Optimism wanes in farm country, survey fi nds
Farmer sentiment on ag economy
By CAROL RYAN DUMAS
Capital Press
Producer optimism about
the agricultural economy is
at its lowest level since the
2016 elections, dropping for
the second consecutive month
in April.
Concerns over trade dis-
ruptions and the future of U.S.
agricultural exports are fuel-
ing the downturn in producer
sentiment, according to econ-
omists at Purdue University
who survey 400 producers na-
tionwide each month.
The needle of optimism on
current and future econom-
ic conditions fell 10 points in
April in the Purdue University/
CME Group Ag Barometer af-
ter dropping 5 points in March.
Producer sentiment is at its
lowest level in about a year and
a half, going back to the elec-
tion period in 2016, Jim Mint-
ert, director of Purdue’s Center
for Commercial Agriculture,
said in a webinar accompany-
ing the latest barometer report.
“We’ve lost a good chunk
of the optimism we gained
following the election, but we
haven’t lost it all,” he said.
The indices on current con-
ditions and future expectations
both turned lower in the last
two months and are at their
lowest level since May 2017
and March 2017, respectively.
But they’re not as low as they
were before the election.
“There haven’t been a lot
of times when we’ve seen both
… indices moving in the same
direction in the same month.
But we’re seeing that now two
months in a row,” he said.
One of the concerns is
about the future of agricultural
trade. There’s been a signif-
icant change in expectations
Purdue University and CME Group partnered to develop a tool for
tracking farmer’s optimism about the U.S. ag economy. The Ag
Economy Barometer is an index based on a monthly national
survey of 400 producers consistent with USDA Census data and
targeting corn, soybeans, wheat, cotton, beef cattle, dairy and hogs.
200
(100 represents baseline average sentiment.)
Source: Purdue University/
y/
CME Group Ag Economy
Barometer
153
140
150
116
125: Down 15
points from
February
100
85
Carol Ryan Dumas and Alan Kenaga/Capital Press
50
O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A
2015
2016
regarding where exports are
headed, he said.
In February, 13 percent of
responders expected agricul-
tural exports to decline in the
next fi ve years. In April, that
jumped to 17 percent.
“A lot of that has to be
driven by the discussions of
possible disruption to trade,
especially to China (and) may-
be to a lesser extent (the North
American Free Trade Agree-
ment),” he said. “But clearly
it’s created some uncertainty
on the part of producers about
what’s going to happen.”
Pessimism over exports
was even higher in their na-
tionwide survey of 100 agri-
cultural thought leaders, such
as bankers and retailers. In
April, 29 percent of those re-
spondents expected agricultur-
al exports to decline over the
next fi ve years.
2017
2018
Producers’ concerns over
the future of agricultural ex-
ports is spilling over into con-
cerns about commodity prices
and their expectation of wheth-
er the next fi ve years are likely
to be “good times.” Only 45
percent of respondents in the
livestock sector and 38 percent
in the crop sector expect good
times.
That’s a signifi cant decline
in optimism in the livestock
sector, down from 60 percent
a few months earlier, and a
slight decline in the crop sec-
tor.
The decline in the live-
stock sentiment is tied to pork
prices, which declined signifi -
cantly over the winter, and the
imposition of Chinese tariffs
on pork imports from the U.S.
In addition, the dairy sector
has had signifi cant problems
with profi tability, he said.
Advisor Cami Schumann with State Star Farmer,
Zane Black of Raft River FFA.
Washington piece-rate pickers must be
paid for ‘down time,’ high court rules
By DON JENKINS
Capital Press
A divided Washington Su-
preme Court ruled Thursday
that piece-rate farmworkers
must be paid separately for
other job-related tasks, such
as mandatory meetings and
traveling between fi elds.
The majority said the
decision applied to only
farmworkers, but dissenting
justices called the ruling an
“ambitious re-imagining of
Washington” law that will af-
fect non-agricultural employ-
ees who aren’t paid a straight
hourly wage.
“At the end of the day, the
majority has simply rewritten
the (Minimum Wage Act),”
Justice Debra Stephens wrote
in the dissent.
The ruling, which up-
sets traditional agricultural
pay practices, stems from a
class-action federal lawsuit
against Dovex Fruit Co. and
its parent company, Stemilt
Growers of Wenatchee. U.S.
District Court for Eastern
Washington Judge Salvador
Mendez Jr. referred the ques-
tion on piece-rate pay to the
Supreme Court.
The court heard oral argu-
ments in the case, Carranza
v. Dovex, in September. The
decision Thursday was the
latest of several Supreme
Court rulings that have gone
against farm operators.
The court’s majori-
ty opinion suggested that
piece-rate workers must be
paid separately for meetings,
training, traveling between
orchards and storing equip-
ment. It also suggested that
time spent climbing up and
Middleton FFA Nursery and Landscape Team wins Idaho
Career Development Event.
Annual conference brings
together best of Idaho FFA
In Twin Falls, Idaho, FFA held its 87th State
Leadership Conference April 4-7, at the College of
Southern Idaho. Over 1,500 FFA members and 300
guests attended six general sessions.
This year’s theme was “Overcome,” and the retiring
state FFA officers challenged Idaho’s record-breaking
members to move past fears, doubts, frustrations and
challenges to set goals and overcome anything in their
way!
Highlights of the conference were keynote messages
brought by the retiring state officers and impactful
guest speakers.
Natalina Sents, an Iowa native and former FFA
member, spent time sharing what she learned from a
year-long road trip where she visited and interviewed
farmers in every state in America. Her message helped
members see that those closest to the literal roots of
American agriculture have much to share that applied
to every single person in the audience.
The President of the United States’ Special Assistant
for Agriculture and Agricultural Trade, Ray Starling,
also brought greetings from the White House and
encouraged FFA members to take advantage of the
diverse opportunities through FFA. Mr. Starling, a
past National FFA Officer from North Carolina,
credits his agricultural education teachers and FFA
with equipping him to be in The White House today
9
Dan Wheat/Capital Press
Workers harvest apples in Brewster, Wash. The Washington
Supreme Court has ruled that piece-rate workers must be paid
for “down time” such as meetings and travel between orchards.
down ladders and emptying
bins would not require sep-
arate pay.
The majority, however,
said precisely setting the
scope of so-called “piece-
rate down time” will be left
to further litigation.
“We’re in a bit of a pick-
le,” said Yakima labor attor-
ney Sarah Wixson, whose
clients include farmers. Al-
though not directly involved
in the case, Wixson co-wrote
a brief submitted to the court
by the Washington State Tree
Fruit Association supporting
Dovex.
Farmers should assume
the ruling will apply to tasks
that all workers spend the
same amount of time on, she
said. “The risk here is, What
is going to bring a class-ac-
tion lawsuit?”
Wixson said she doubts
the ruling will end piece-rate
pay. The system attracts the
best workers, she said.
She also said that with
farms competing for workers,
she doesn’t foresee piece-
rates declining to offset sepa-
rate pay for downtime.
Efforts to reach Dovex or
its attorney were unsuccess-
ful.
In court, Dovex argued
that piece-rates were set
high enough to account for
non-picking tasks. Dovex
said it rounded up piece-rate
pay at the end of each week
to make sure every worker
received at least minimum
wage for all hours on the job.
Writing for the majority,
Justice Mary Yu said that the
practice conceals not pay-
ing employees for all hours
worked and violates the
state’s minimum wage law.
Yu said piece-rate work-
ers must be paid at least the
state’s minimum wage for
down time. The decision did
not address whether piece-
rate workers could sue for
back pay.
Justices Charles Wiggins,
Barbara Madsen, Steven
Gonzalez and Sheryl Mc-
Cloud joined Yu in the ma-
jority.
The White House Special
Assistant to the President for
Agriculture &Agricultural Trade,
Ray Starling, addresses the 87th
Idaho FFA State Leadership
Conference.
serving the interest of American agriculture.
During the week, FFA members competed in Career
Development Events, Leadership Development
Events, Agriscience Fair, Community Service, Career
Success Tours and engaged in leadership workshops
from visiting state officers from Kansas, Washington
and Oregon. Six new state officers were also elected.
National FFA Secretary, Erica Bauer, from Iowa,
shared her message that everyone can find a place in
FFA and that we should all be strong advocates for
agriculture. She enjoyed her time in Idaho visiting
with members and learning more about Idaho.
Along with the events aimed towards student
development, attendees gathered at the College of
Southern Idaho to celebrate accomplishments by
members and supporters such as award presentations,
degree ceremonies, and recognition of those who have
invested in Idaho FFA. Over $50,000 in scholarships
and awards were presented by the Idaho FFA
Foundation through the generosity of donors, the
Idaho FFA Foundation Tractor Raffle, and the
University of Idaho.
Idaho congratulates its members who won state level
events and will compete representing Idaho FFA at the
National FFA Convention and Expo in Indianapolis,
Indiana, the 24th through the 27th of October.
20-3/HOU