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Vance-Backed Startup Faces Worker Nightmare in 128-Degree Heat, Ex-Employees Claim

Former employees of an indoor farming startup, with ties to Republican vice presidential candidate JD Vance, have reported alarming working conditions characterized by excessive heat. The concerns come from staff members at AppHarvest, a tech-driven agriculture company situated in eastern Kentucky.

Vance served as a board member, early investor, and public supporter of AppHarvest, according to reports. The company was founded by Jonathan Webb, who aimed to establish an indoor farming hub to grow fruits and vegetables in a region abundant with water and land, strategically located within a day’s drive of most of the U.S. population.

When AppHarvest went public in February 2021, Vance referred to it as a “good investment” on Fox Business, claiming that it was making a significant impact in the world. However, the company faced a grim reality in 2023 as it declared bankruptcy, shouldering debts amounting to hundreds of millions of dollars.

Despite Vance’s portrayal as an advocate for the working class, a dozen former employees shared their experiences with CNN, painting a picture of a difficult workplace. Inside the company’s greenhouse, temperatures reportedly exceeded 100 degrees Fahrenheit, with many workers claiming they did not receive adequate breaks or proper safety equipment.

Between 2020 and 2023, several complaints regarding the working conditions were lodged with the Department of Labor and a state regulator. State inspectors visited the greenhouse multiple times but did not issue any penalties. However, employees claimed to have suffered from heat exhaustion and various injuries.

Additionally, former workers noted a significant shift in hiring practices and a departure from the company’s initial job creation promises. Numerous employees stated that the company increasingly relied on migrant workers from Mexico and Guatemala.

Crop care specialist Shelby Hester disclosed that during a visit by Kentucky Republican Senator Mitch McConnell in November 2021, all Hispanic workers were sent home prior to his arrival. She highlighted the irony in McConnell’s speech, where he claimed, “we were taking the jobs from the Mexicans.”

Former employee Anthony Morgan recounted taking a pay cut to join AppHarvest, enticed by the promised healthcare benefits and the company’s commitment to the Appalachian region. Initially hopeful, he experienced a dramatic change in company culture, marked by extended hours, reduced breaks, and diminishing benefits.

“The hottest temperature I encountered was around 128 degrees,” Morgan reported. “On several occasions, ambulances were called to transport individuals to hospitals due to heat-related issues.” He characterized the situation as a nightmare that could and should have been avoided.

As the environmental conditions deteriorated, employee turnover increased. Morgan stated he was dismissed after taking medical leave for a workplace injury. Hester also described having to provide her own N95 masks due to health issues caused by the presence of mold and other harmful substances in the greenhouse.

Hester shared that heat stroke became a frequent occurrence and noted that staff members were told a doctor’s note would not exempt them from attending their shifts.

Attempts to reach out to Vance’s campaign and AppHarvest’s founder, Jonathan Webb, for a response went unanswered. A spokesperson for Vance indicated that he had no knowledge of operational decisions made regarding employee benefits or workplace policies following his departure from the board in 2021.

The spokesperson expressed that Vance believed in AppHarvest’s mission and regretted the company’s struggles. Meanwhile, Gary Broadbent, AppHarvest’s chief restructuring officer, acknowledged that the company is no longer operational and is unable to provide comments.

Vance left the board to concentrate on his Senate campaign. In early 2023, AppHarvest faced numerous lawsuits from disgruntled shareholders upset with the declining stock prices and allegations of fraud. Former staff members opined that Vance and his fellow board members failed to act on various warning signs indicating the company was misleading both investors and the public.

In the words of Morgan: “Eastern Kentucky has a reputation for businesses that emerge only to vanish. They didn’t care about us.”

In 2022, Webb noted that Vance had invested $150,000 in the company after exhausting his savings and utilizing credit cards to support the business. Although AppHarvest experienced a valuation of over $1 billion when it went public in February 2021, the company’s value dwindled by more than three-quarters within just six months.

Vance had more than $100,000 invested in AppHarvest at the time of his departure from the board in April 2021, and his venture capital firm continued to publicly support the company until its bankruptcy in 2022, which left it with debts surpassing $341 million.

Source: CNN