Famous US Company Moving Jobs to Mexico

(StraightShooterNews.com) – Ditching hard-working Americans for cheap labor, John Deere announced it planned to lay off about 610 employees across three facilities in Illinois and Iowa and move production to Mexico.

The cutbacks are set to start on August 30 and are blamed on a decrease in product demand.

Specifically, the layoffs will impact 280 workers at the East Moline, Illinois plant, 230 at the Davenport, Iowa factory, and approximately 100 at the Dubuque, Iowa facility.

To assist affected employees, John Deere will provide a Supplemental Unemployment Benefit which covers nearly 95% of their weekly net pay for up to 26 weeks, based on their tenure with the company.

Additionally, these workers will receive profit-sharing options and health benefits. Details of the layoffs were initially shared within the company on May 31 through an email and further discussed on online platforms such as Reddit.

Although it earned over $10 billion in profits in 2023, John Deere cited increasing operational costs and shrinking market demand as the primary reasons for the layoffs, which required changes across the company.

“We can confirm Deere leadership recently communicated that rising operational costs and declining market demand requires enterprise-wide changes in how work gets done to achieve our goals and best position the company for the future,” a company statement explained.

This move is part of a larger strategy to streamline operations and adapt to changing business conditions.

On May 31, John Deere also announced a shift in production of certain equipment from Iowa to Mexico by the end of 2026 to reduce manufacturing costs and enhance efficiency.

Historically, John Deere has made similar reductions, with about 500 jobs cut at its Waterloo, Iowa plant alone.

An employee from the Harvester Works plant in East Moline shared their concerns about the ongoing uncertainty and frequent layoffs.

“We get wind of more layoffs daily, it seems, and it’s causing uncertainty all over,” they said. “The only reason for Deere to do this is greed.”

As John Deere navigates these organizational changes, its market capitalization remains strong at approximately $102.81 billion.

However, the company has revised its profit forecasts downward twice in 2024 due to expected declines in sales of large agricultural machinery, influenced by lower crop prices and market saturation.

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