On April 8, 2026, Virginia enacted House Bill 20 (HB 20) as Chapter 357, amending Virginia Code § 40.1-28.9 in the Virginia Minimum Wage Act.
The official legislative summary states that the bill eliminates the exemption from Virginia’s minimum wage requirements for people employed as farm laborers or farm employees.
This update applies to Virginia agricultural employers, and the bill’s substantive change becomes effective on January 1, 2027.
What Employers Need to Do
- Identify Virginia workers currently treated as outside state minimum wage coverage because of the farm laborer or farm employee exemption and assess who may be brought into coverage on January 1, 2027.
- Budget and plan for minimum wage compliance beginning in 2027 for farm laborers and farm employees who will no longer fall under the current exemption.
- Review pay practices for agricultural workers carefully, especially where compensation methods or worker categories are complex.
- Do not overread the bill, because the enacted materials still indicate that the statute separately excludes certain temporary foreign workers governed by 20 C.F.R. Part 655.
- Coordinate this update with Virginia’s separate minimum wage schedule changes under HB 1, since the applicable state minimum wage rate in 2027 will be higher than the current 2026 rate.
Overview
- Beginning on that date, Virginia agricultural employers that have relied on the current farm laborer / farm employee exemption should expect those workers to come under Virginia’s state minimum wage law. Law firm commentary treats this as a significant expansion of state minimum wage coverage for agricultural employers.
- This change fits into Virginia’s broader minimum wage framework. Under HB 1, the Virginia minimum wage rises to $13.75 on January 1, 2027 and to $15.00 on January 1, 2028, unless the federal minimum wage is higher.
Why This Matters
Virginia agricultural employers that have historically relied on the farm laborer / farm employee exemption should expect that exemption to end under state law on January 1, 2027.
For employers, workers who previously may have fallen outside Virginia’s state minimum wage law will likely need to be paid at least the applicable Virginia minimum wage beginning in 2027.
An important detail that employes need to consider is that the enacted materials still reference a separate exclusion for certain temporary foreign workers, so agricultural employers should review worker categories carefully rather than assume all agricultural-related exclusions disappear at once.
Key Risks for Employers
- Assuming the current farm laborer / farm employee exemption continues beyond January 1, 2027.
- Failing to prepare for the interaction between HB 20 and Virginia’s scheduled minimum wage increases under HB 1.
- Overlooking the statute’s separate exclusion for certain temporary foreign workers, which remains an important interpretive point in the enacted materials.
- Treating all agricultural workers the same without reviewing whether their category, pay structure, or visa status affects coverage under the amended statute.
Source References
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