Frustration is brewing among farmers as many are contemplating severing ties with John Deere, a name synonymous with agricultural machinery for nearly two centuries.
This wave of dissatisfaction comes on the heels of the company announcing further layoffs, which has many in the farming community feeling betrayed.
Job Cuts Stack Up
On Wednesday, John Deere revealed it would be laying off an additional 300 workers in Iowa and Illinois, bringing the total number of job cuts this year to approximately 2,100.
These layoffs come at a time when the company is shifting more of its manufacturing operations to Mexico, leaving many farmers questioning their loyalty to the brand.
“I’ll never buy another John Deere tractor or any other of their products,” one farmer vented on Reddit, capturing the sentiment of many others who feel let down.
Another echoed similar sentiments, stating, “John Deere is loyal to shareholders, NOT employees or even customers. Anything they say otherwise is propaganda.”
Amid the discontent, some farmers even predicted a shift in equipment color on their fields, suggesting they might turn to rival brands like Massey-Ferguson, known for its red tractors.
John Deere’s Market Position
Despite the turmoil, John Deere remains the leading agricultural equipment manufacturer in the U.S., dominating fields with its iconic green and yellow machinery.
From tractors to heavy-duty garden equipment, the company’s products are a staple for many farmers.
However, the recent layoffs have raised alarms, particularly because John Deere’s factories often serve as the largest employers in small Midwestern towns.
A Glimpse into History
Founded in 1837, John Deere started by producing self-scouring steel plows that revolutionized farming.
Fast forward nearly 200 years, and the company has expanded its product range to include construction vehicles, mowers, and even snowmobiles.
With 109 factories and offices worldwide, the company’s growth has been significant since its humble beginnings.
Layoffs Across Multiple Locations
The recent layoffs are spread across several Iowa sites, including Ankeny, Dubuque, Ottumwa, Urbandale, and Waterloo, as well as locations in Illinois like Davenport and East Moline.
Approximately 200 production workers at the harvester factory in East Moline will lose their jobs, alongside others in Davenport and Moline.
This round of cuts follows a previous layoff of 103 workers in July, and the shifting of production to Mexico has sparked concern among employees and farmers alike.
A Political Backlash
The movement of manufacturing operations to Mexico has drawn political scrutiny, with figures like Donald Trump threatening a hefty 200 percent tariff on John Deere imports if the company goes through with its plans.
This potential fallout adds another layer of tension to the already strained relationship between the company and its customers.
Despite reporting a profit of over $10 billion in 2023 and the substantial compensation package for CEO John May, John Deere cites declining demand for tractors and agricultural equipment as the reason for the layoffs.
The company is facing a significant drop in sales, with a 20 percent decrease noted between 2023 and 2024.
Employee Sentiments
John Deere has publicly committed to U.S. manufacturing, pointing to a $2 billion investment in factories since 2019.
However, the reality on the ground tells a different story.
A longtime worker at the Harvester Works plant in East Moline shared their discontent, attributing the layoffs to corporate greed.
“We hear about more layoffs daily, and it’s causing uncertainty everywhere,” the worker stated, remaining anonymous for fear of retaliation.
“These cuts are not related to production moves. As we have repeatedly stated, layoffs this fiscal year are due to the weakening farm economy and a reduction in customer orders for our equipment.”
What Lies Ahead?
As tensions rise, farmers are left questioning the future of their relationship with John Deere.
Will this backlash lead to lasting changes in the company’s practices, or will farmers ultimately stick with the brand they’ve relied on for generations? Only time will tell.