Farm and heavy equipment manufacturer Deere – of John Deere tractor fame – has announced that it will indefinitely layoff some 460 workers at its Waterloo, IA facility, effective as of October 20.
This latest round of layoffs comes just about a week after Deere revealed it would be doing the same at facilities in Ankeny, IA, Moline and East Moline, IL and Coffeyville, KS. All this, following and August 13 earnings announcement that showed sales falling by some 15 percent in the third quarter of this year.
In a statement, the company said that it "must match the size of its manufacturing workforce with market demand," to keep its edge in an increasingly global marketplace.
The layoffs fall in contrast to a relative boom in employment in recent years, when Deere says it took on "several hundred manufacturing employees" in the Midwest, to keep up with demand.
Deere Announces Waterloo Layoffs
MOLINE, Illinois (August 22, 2014) – Deere & Company announced today that it will place approximately 460 employees who work in the company's Waterloo, Iowa operations on indefinite layoff in response to current market demand for its products. Deere said employees were informed today of the layoffs, which are effective October 20th.
"Layoffs are never easy because we understand the significant impact this action has on our employees, their families, and the community" said Dave DeVault, factory manager. "We very carefully assess our workforce requirements to ensure we make the best possible decision to respond to various market conditions."
When Deere announced third quarter earnings on August 13th, the company said it planned to reduce agricultural equipment production for the balance of the year.
Deere has emphasized that the company must match the size of its manufacturing workforce with market demand to remain globally competitive. Deere had hired several hundred manufacturing employees in recent years to meet increased demand for products manufactured in its Midwest U.S. factories.