“Finding skilled labor has been increasingly challenging for many farm owners, leading to a rise in wages as they compete for talent,” he explains. “The Accredited Employer Work Visa, particularly impactful in the dairy sector reliant on overseas workers, has driven salary growth by mandating a minimum wage for international hires,” Weir highlights.
He notes, “Introduced in mid-2022, the AEWV requires employers to pay at least the median wage to international workers, elevating pay for this group and prompting higher salaries for domestic workers to maintain parity.” Weir’s remarks follow a recent report indicating continued investment in farm staff across various sectors.
According to the 2024 Federated Farmers-Rabobank Farming Salaries Report, the average farm worker salary has risen by $7,480 since 2022, reaching $71,411. Senior roles have seen even more significant increases, with dairy herd managers’ salaries up by 19% to $74,185, sheep/beef farm managers earning 22% more ($88,381), and arable farm managers seeing a 28% increase to $101,264.
“These salary hikes are noteworthy, given the challenges farmers have faced, including Covid, weather extremes, red tape, inflation, and fluctuating commodity prices,” says Richard McIntyre, a Federated Farmers national board member. He emphasizes that these increases highlight the competitiveness of agricultural careers.
Weir emphasizes that while rising salaries increase costs for farm owners, they are crucial for attracting young talent to the industry. “Rabobank, along with our client councils, is actively promoting agricultural career opportunities to secondary school students,” he states. “Salary growth for on-farm roles must keep pace with or exceed wider market trends to ensure the sector remains attractive to young talent.”