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What is a Farm Labor Contractor Bond?

Farm Labor Contractor Bond - This image shows a farmer harvesting and a couple farmer logo with a color black background.

The bond requirement for Farm Labor Contractors is set to increase from $10,000 to $25,000. The changes are in response to the increasing number of incidents involving agricultural workers and their employers.
The increased bond will give more security for both the worker and employer as it becomes a guarantee that the Farm Labor Contractor will be able to provide compensation if there are any accidents or injuries on site. Higher bonds also help protect against fraud by making sure that all applicants have enough capital available in case they do not fulfill their obligations which helps weed out those who might be less reputable providers of farm labor services.

Farm Labor Contract Bond App

H-2A Farm Labor Contractor Bond Application

Surety agreement sample - This image shows a written sample of agreement about Farm Labor Contractor Bond.

Farm Labor Contractor Bonds

Farm Labor Contractors are a necessity in order to meet seasonal staffing needs. The farm labor contractors have to be licensed and bonded by the state government as well as registered with the federal Department of Labor under MSPA, which is an act that was created for migrant workers who work on farms during harvest periods or other busy seasons when it's hard get enough laborers from just one place without going through expensive recruiting practices like newspaper ads; word-of-mouth referrals; job fairs where employers come together with prospective employees and discuss available positions face-to-face. Farmers need help meeting their yearly staff shortages so they turn to Farm Laborer Contractors (FLC) who must first obtain licenses before operating legally within any given state.

Farm labor contractors must take legal responsibility for their actions with a bond. Their services should provide protection against financial risks, such as not abiding by all applicable laws and regulations or neglecting to pay farm laborers promptly. Migrant agricultural workers deserve safe working environments and timely wages – this is the contractor's guarantee of doing business in an ethical manner!

Who Needs a Farm Labor Contractor Bond?

Who Needs a Farm Labor Contractor Bond? This image shows a colorful farm barnyard and a question marks with a color off white background.

The U.S. Department of Labor requires a bond to be posted with the government before they can issue an approval for employers seeking temporary workers under certain circumstances, such as when there are more than 25 employees on site or if any violent crimes have been committed in the past three years at that location. The amount varies depending upon how many people will work and whether violence has occurred previously; it is $5,000 for those who employ fewer than 25 staff members but increases up to $20,000 per person required by law should you need someone over 50 working full-time year round. The United States Department of Labor may require companies looking for “temporary” labor (e.g., contract jobs) to post bonds.

What are farm labor contractor surety bonds?

A Farm Labor Contractor bond is a surefire way to protect employees of any farm. This form of guarantee ensures that an employee will be paid in acceptable wages, and that the contractor operates according to labor standards.

What does a farm labor contractor do?

You have the power to make money and change lives. As a Farm Labor Contractor, you recruit workers for farmers in any area with enough farms that need help. It's up to you whether or not they find success! You're an important cog in this industry as a farm labor contractor–you do more than just place people on jobs like so many other contractors; instead, it is your job specifically to train them first through some of their work history before sending them off into the world (and at times back home).

How to become a Farm Labor Contractor. For those looking to become a farm labor contractor, there is no degree or formal training required. However, you must have passed the license test in your state before performing this work. A foreign language ability would be helpful for speaking with workers who speak little English.

How is it to be a labor worker (construction)? Is there money in it?

It is possible to quickly move up in the trade world if you are willing and able. If there aren't any apprenticeship programs available, it can be a little more difficult; however, these schools offer many opportunities to learn various trades such as concrete finishing or masonry work.


For businesses that have migrant labor, a Farm Labor Contractor Bond is a must have so that you can continue on with your business.  These bonds are required by the Department of Labor. Fortunately, they are not hard to get and by getting the bond you can then move forward with your business – and not worry about all the administrative hassle that comes with getting a surety bond.

Farm Labor Contract Bond App

H-2A Farm Labor Contractor Bond Application

See more about Swiftbonds at our main page here.  We also have lots of information on other types of bonds, including performance bonds, bid bonds, and other contract bonds. Feel free to reach out to us with any questions.  We'd love to hear from you and help you out with all of your surety bond needs.

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