After finishing two earlier rules that improve transparency in grower contracts and bar retaliation against growers, USDA Secretary Tom Vilsack finalized a third rule that will significantly change the poultry industry’s notorious “tournament system.”
January 14, 2025
January 14, 2025 – During the administration’s 11th hour, President Biden’s USDA wrapped up its historic push to finalize Packers & Stockyards Act regulations that have been a century in the making. After finishing two earlier rules that improve transparency in grower contracts and bar retaliation against growers, Secretary Tom Vilsack finalized a third rule that will significantly change the poultry industry’s notorious “tournament system.” For example, companies will no longer be able to reduce base pay based on competitive metrics and will have to provide upfront details on costly barn and equipment upgrades that may be required. “It is USDA’s job to advocate for farmers, and these regulatory improvements give us the strongest tools we’ve ever had,” Vilsack said after the rule’s release.
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USDA withdrew a fourth rule that would have changed the definition of “unfair practices” in favor of farmers because the agency ran out of time to finalize it. Farm Action, a group that has been at the forefront of pushing for the rules, said farmers would suffer due to the “unfinished business” but also praised the agency for progress made. “We applaud the USDA for its efforts in proposing and now finalizing this critical rule that will improve its ability to hold monopolistic poultry integrators accountable for unfair and deceptive payment and capital improvement systems for poultry growers,” said Angela Huffman, Farm Action’s President, in a press release. (Link to this post)
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