The H-2A Surety Bond for Farm Labor Contractors is required by the United States Department of Labor, Wage and Hour Division.
The H-2A Farm Labor is a program that allows farmers to hire non-U.S. Citizens from other countries in order to meet the high demand for labor during harvest season. The H-2A temporary agricultural program allows agricultural employers who anticipate a shortage of domestic workers to bring non immigrant foreign workers to the U.S. to perform agricultural labor or services of a temporary or seasonal nature. Employment is of a seasonal nature where it is tied to a certain time of year by an event or pattern, such as a short annual growing cycle, and requires labor levels above what is necessary for ongoing operations. Read more about the H-2A Farm Labor Contractor requirements.
The Migrant and Seasonal Agricultural Worker Protection Act (MSPA) protects migrant and seasonal agricultural workers by establishing employment standards. Any person who is subject to MSPA as a Farm Labor Contractor (FLC) must register with the Department.
The FLC must be issued an Farm Labor Contractor Certificate of Registration prior to starting any farm labor contracting activity. To obtain the Certificate of Registration, an H-2A Surety Bond will need to be provided.
The term of the H-2A surety bond must cover the term of the work contract period listed on the H-2A Application + 2 years. A copy of the accepted job offer (ETA form 790) will be required as part of the underwriting process.
The bond is to protect the H-2A workers from unscrupulous FLCs. This is not insurance. If there is a claim placed on your bond and you are found at fault, the surety company will pay out. However, unlike insurance, the applicant will have to pay the surety company back.
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