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Show Utah Farm Bureau News Page 6 opens areas No-fau- lt for special caution By Lowell Walker Director of Underwriting Utah Farm Bureau Insurance Company inlt The trend toward surance for automobile drivers has caused and will continue to cause an increase in liability suits in other areas. Already medical malpractice litigation has shown a marked increase, and plaintiffs attorneys are expected to increase their activity into the general liability lines of coverage. Our companys main concern is that all of our customers have adequate protection, because the former minor injury or nuisance claim could turn into a major suit no-fau- now. As underwriters, we are inter ested in providing Farm Bureau members with the limits and coverages that we are able to write. Of special concern is the Comprehensive Personal Liability coverage. In most cases, its provided, for under a Homeowners policy. Also of key importance is the Farmers and Ranchers Comprehensive Personal Liability coverage that is included under our Country Squire package or as a separate contract. to find It isnt uncommon people more concerned with insuring their buildings or other property from the perils of nature than they are in providing liabillawity coverage for third-part- y suits. But these lawsuits could be all-import- ant May 1974 far more devastating they sometimes reach into the millions of dollars. The farm is an especially open area of risk for what we call the Such claims attractive nuisance. involve this children; usually and means judges juries are usually very sympathetic toward the victim. Ive seen awards made for such things as drowning in reservoirs and ditches, being injured on machinery left unattended, injury in vacant or unused structures, injury by a dog or other farm animal, boating or recreation vehicle accidents, hunting accidents, and injury by chemicals. The list could go on and on involving accidents both on accidents and off the premises of every description to both person and property. Space doesnt permit an extensive review of coverages. But let me point out the very important need to review these with your agent, especially for our Farmers and Ranchers Comprehensive Liability insurance program. Two exclusions or exceptions often overlooked in those policies are business pursuits and recreational vehicles. Readers should review these exclusions with their agent, because in most cases we are willing to provide coverage either by endorsement or in a separate policy. Of special concern should be a business or employment other than farming. This might be carpentry, electrical work, operation of a small store, apartment ownership, charging for use of land for recreational or other purposes, milk d processing, or other business activities. All of those are excluded from regular policies but may be covered by a separate contract designed for that purpose. farm-relate- Manpower program offers farmers source of help darn Farmers are missing a good bargain if they fail to take advantage of manpower training programs to secure and develop good, dependable year- - around farm hands, in the opinion of the Utah office of NAB (National Alliance of Businessmen). Becausl the current variety of manpower training programs are seldom looked to as a means for filling agricultural manpower needs, Utah NAB program officials are launching a special information effort to make farmers and ranchers aware of the advantages of hiring and training farm workers under one of their manpower training contracts. The manpower program which performs under the banner of NAB is a unique concept which combines the efforts of both government and employers to help solve the' problem of hard-cor- e unemployment throughout the nation. Under the NAB concept, private employers including farmers and growers can enter fixed unit cost contracts designed to offset the extraordinary costs associated with hiring disadvantaged workers. Reimburseable costs include such items as training, basic minor education, transportation, medical and dental expenses and related administrative costs. on-the-j- ob Basically, heres how the program works.. Say a fruit farmer has about 50 acres of peaches and cherries in the Brigham City area. He needs an experienced, dependable farm hand to help him with the chores of planting new trees, cultivating, pruning, irrigating, spraying, harvesting, operating and repairing farm machinery and equipment, and other of the myriad duties that are required to operate a substantial fruit farm. Understandably, labor turnover and retraining costs are burdensome. The farmer decides to give manpower training a try and contacts the Brigham Employment Security office where he signs a NAB contract and starts the training on its way. Although the farmer doesnt have to use the Brigham E.S. office to help him find the trainee (the office is required only to certify the eligibility of the worker selected), he does so because of the offices long experience in recruiting and referring workers. If, for example, the farmer puts the trainee on his payroll at a start- - ing rate of $2.50 per hour, the NAB contract would pay $1.40 of that amount for the first 600 hours of the training. In addition, if it is the contract required, provides services certain such supportive child-car- e as transportation, and minor medical and dental expenses in order for the trainee to fulfill the contract. The contract is designed to assure that the basic employer-employe- e relationship is maintained throughout the term of the agreement by providing that the employer: Makes the final decision of whom to hire. Retains the option to discharge the trainee if it becomes necessary. Performs all the actual training. Carries the trainee on his regular payroll. Receives all the payments which ultimately go to the trainee. Has the latitude to train his employee in an all- - around capacity, that is, harvesting, irrigating, machine repair, etc. Farmers, ranchers and other agricultural employers across the state are invited to call their local Employment Security office for additional details and particulars concerning manpower training under the NAB program. on-the-j- Some observers predict that the new' minimum wage law, raising the pay e scale for farm workers under certain circumstances, may make it hard to get hay out of the fields, to get fruit picked, and to finish other farm chores. The NAB manpower program, though, may help solve the shortage e of well trained help on farms and ranches. part-tim- full-tim- ob How new minimum wage bill affects farm labor Farming is one of the industries most greatly affected by the nations new minimum wage bill. Although the wage scale will rise more slowly in agriculture than in other areas, a number of changes from former requirements are included in the law. May 1, 1974, marked the start of the first minimum wage increase. For agriculture, this figure rose to $1.60 per hour on that date from the former $1.30. Future increases are: $1.80 on January 1, 1975; $2.00 on January 1, 1976; $2.20 on January 1, 1977; $2.30 on January 1, 1978. The Act provides an exemption from minimum wage coverage for any worker who fits any one of the following descriptions: A. A worker employed in agriculture if employed by an employer who did not, during any calendar quarter of the preceding calendar year, use more than 500 man-day- s of agricultural labor. B. A worker employed in agriculture if such worker is the parent, spouse, child or other member of the employers immediate family. C. A worker employed in agrihe is employed as a culture if: hand harvester on a piece rate in an operation customarily on a piece rate basis in the he commutes daily and if his permanent residence to basis paid area, from the he farm where employed, and was employed in agriculture in less than thirteen weeks during the preceding calendar year. D. A worker employed in agrihe is 16 years of age culture if: is employed as a or under, and hand harvester on a piece rate basis in an operation customarily paid on a piece rate basis in the area, is employed on the same and is paid farm as his parent, and the same piece rate as employees over sixteen are paid on the same farm. E. A worker who is principally engaged in the range production of livestock. None of the above exemptions has been modified. However, in of calculating the 500 man-day- s s man-dayA above, the number of of work of employees in B, C, D, and E above are to be counted. Heretofore, the workers in B and C above were not counted in calculating the 500 man-dayThis provision will result in the coverage of some additional farmers by minimum wage regulation, and an estimated 25,000 additional farm workers on the farms to be covered. This change does not affect the exemption of the workers in B, C, D and E. The provisions of the Act relating to the employment of young workers by farmers are substan s. If the tially revised as follows: worker is under 12, he may be employed outside school hours by a parent on the parents farm, or may be employed with the consent of his parent on a farm on which no other worker is covered by minimum If the worker wage provisions. 13 12 is or years of age he may be employed outside school hours by a farmer with the consent of. his parent, or if the parent is employed on the same farm. If the work15 er is 14 or years of age, he may be employed by a farmer outside school hours for the school district where such employer is residing while so employed. Workers who are, also full time students may be employed Ijy retail and service employers, by farmers, and by colleges and universities at minimum wage rates not less than 85 per cent of the minimum rate otherwise applicable but not in excess of 20 hours in any work week except during vacation periods. However, in each such case a special certificate must be obtained by the employer from the U.S. Labor Department. The Secretary may not issue such certificates unless he finds that the employment of such students will not create a substantial probability of reducing e the employment opportunities of other workers. full-tim- |