Labor-sparing Technology: Exploration of ‘Economies of Skills’ in Agriculture
Kimberly L. Morgan, C-FARE Board Member and Associate Professor at University of Florida
The past century has witnessed large-scale, economically efficient production of grains and meats, relatively lower global food prices, and improved worldwide food access. In the process, however, scores of U.S. farms have disappeared, food production systems are increasingly integrated, and despite numerous education and outreach programs, there are fewer young farmers and fewer midsize, diversified operations.
In the specialty crop industry, labor expenses represent 30-60 percent of operating costs. Concerns around labor access and rising wage rates are the primary motivating forces behind grower interest in the adoption of labor-reducing technology. Tellingly, in 2023, Florida brought in more than 50,000 H2A workers to harvest specialty crops to fill the industry-wide gap in labor availability. To formulate my research questions on addressing what innovations are needed to support the specialty crop industry in the future, I source grower insights: “I recognize the younger generations are tech savvy. That’s partly true. The more specific truth is the younger generations are technology dependent. So they look for and place a high degree of trust in information sources from technological feeds. They’re not like an agronomist who feels the ground with their fingers to determine moisture; They want a sensor to provide that information. So how do we collect the data through technology to allow smart decision makers to utilize that, to drive efficiencies? (Wilson, M., 26 Sept 2023, Farm Progress, “I want eager, willing people that we can train.”)
Often economists analyze the tradeoff between human work (labor) and automation or mechanization (capital). We look at where people are numerous along a food supply chain and try to introduce technology to conserve our most valuable and constrained resources – the people themselves. I ask: WHY we are witnessing a disconnect in adoption of labor-sparing technology and use of AI tools and data analysis? And HOW we, as economists may lead research efforts that target labor-sparing, and more profitable, solutions for the farm workforce and US farms? I propose we look at what I term as “economies of skill” and find systems-wide solutions that utilize relatively cheap technology. Evaluate the food system, from inputs to waste management, allocate existing land and capital, then, determine how to distribute human resources and how to grow human skills sets to enhance individuals’ and farm level wellbeing across the food system.
