California's agricultural hubs have experienced substantial wage growth since 2019, driven by pandemic-era labor shortages that forced farmers to pay more to retain employees. El Centro saw the highest average weekly pay at a 57% increase, followed by San Luis Obispo with 51%. Consequently, these labor costs have influenced grocery prices statewide, which have risen by 28% over the past five years. The impacts of immigration policies could intensify these issues, further straining labor availability and potentially inflating wages. However, wage increases are uneven, as exemplified by a decrease in Madera's earnings by 4%.
Expanding workweeks significantly drove higher wages in California's agricultural areas, with workers in El Centro seeing a 12% increase to an average of 37 hours weekly since 2019.
Labor shortages during the pandemic pushed farmers to increase wages to attract workers, leading to higher grocery prices that reflect these increased labor costs across the food supply chain.
California's statewide grocery prices have seen a sharp 28% increase in the last five years, a consequence of heightened wages and minimum wage hikes primarily concentrated in agricultural hubs.
Significant pay increases in agricultural towns are countered by regions like Madera, where weekly earnings fell 4%, highlighting the disparity in wage growth across the state.
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