The practice of farming is one that brings up images of fields in the morning mist and heaps of fresh fruit and vegetables. However, for a farm labor contractor, farming is very much about employee management.
In order to ensure that you are a responsible farm labor contractor, you are required to hold a farm labor contractor's bond. This reassures your employees and the government that you will treat your workforce well.
What is a Washington Farm Labor Contractor's Bond?
When you're in charge of a workforce of farm laborers, you have a unique responsibility to ensure that you manage and maintain this workforce well. As a farm labor contractor, you need to hold a surety bond.
This surety bond is an agreement between your company (called the principal) and your obligees (the people whom you hire for farm labor).
The third party in this agreement is a surety company, a company that will look at your business history to determine if you can get a bond.
Once you've posted a bond, your obligees know that if they were to suffer hardship due to their job, they could make a claim against your company and be compensated. The bond ensures that the money is there to pay legitimate claims; however, your company is still responsible for paying for any claims made against you.
Who Needs a Washington Farm Labor Contractor's Bond?
When you're working as a farm labor contractor in the state of Washington, you need a Washington Farm Labor Contractor's Bond.
Many different individuals are considered to be farm labor contractors. You may be responsible for recruiting, soliciting, employing, supplying, transporting, or hiring farm workers for a fee. Your employees may grow food for harvest, plant trees, or harvest Christmas trees. If so, you need a farm labor contractor's license and a farm labor contractor's bond.
How to get a Washington Farm Labor Contractor's Bond
When you're looking for a Washington Farm Labor Contractor's Bond, you need to contact a surety underwriter. The underwriter will work with your company to ensure that you have the right bond coverage to suit your needs.
This bond coverage depends on the number of employees.
- 1-10 employees: requires a $5,000 bond
- Up to 50 employees: requires a $10,000 bond
- 50-100 employees: requires a $15,000 bond
- More than 100 employees: requires a $20,000 bond
The surety company will take a look at your business and financial history to determine the percentage rate you'll pay on this bond amount. They may ask for past claims made against you and may look at your credit history.
If you're a contractor who needs bonds for licensing purposes, contact Surety Solutions. We'll provide you with multiple quotes so that you can find the bond quote that works for you.
Contact us for your surety bonding needs, and we'll help you fulfill your licensing requirements so that you can get back to work.