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Cost, efficiency and change from 2018 to 2024

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  • Cornell Cooperative Extension
  • PRO-DAIRY
  • Animal Science
  • Charles H. Dyson School of Applied Economics and Management
The Dairy Farm Business Summary & Analysis Project (DFBS) is one of the longest applied research efforts within the College of Agriculture and Life Sciences at Cornell University that interacts directly with rural stakeholders of the land grant mission. The DFBS started as a project in 1956 and works with dairy farm families to analyze financial and business performance over time, with the objective to improve business and financial management within the dairy industry using modern analysis techniques and historical farm data. 

Hired labor plays a significant role on dairy farms, with more than 9,000 jobs provided by New York dairy farms in 2019. As farm size grows, hired employees provide a larger percentage of the labor required to operate the farm. In 2021, authors J. Karszes and C. Wolf presented an in-depth look at hired labor on larger dairy farms over a 10-year period in E.B. 2021-05 “Hired labor on New York state dairy farms: Costs, efficiency and change from 2011 to 2020”. Since then, hired labor costs have continued to increase. This paper presents updated trends, costs and changes over the last seven years through 2024.

From 2018 through 2024, 110 farms utilizing hired labor participated in the DFBS for all seven years. With this balanced data set, change can be looked at over this time frame. On these 110 farms, hired labor grew from 87.7 percent of all labor on the farm in 2018 to 89.3 percent in 2024.

 

PRO-DAIRY is a nationally recognized extension and applied research leader serving dairy farms for more than 30 years.

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