Deere & Co will lay off close to three dozen production employees at an Illinois agriculture equipment plant, adding to the hundreds of positions cut over the last few months as the tractor maker responds to slowing global demand.
Deere informed 34 workers at its Moline Cylinder Works factory on May 3 that they will be let go at the end of the month, the company said in an email to Mekong Farmer. The plant manufactures the power units of Deere’s equipment.
“Each John Deere factory balances the size of its production workforce with the needs of the individual factory to optimize the workforce at each facility,” a spokesperson said to Mekong Farmer.
The layoffs add to the hundreds of positions cut within the past year as tractor manufacturers adjust to declining demand and shift focus toward digital services. Deere laid off 225 workers in Illinois last October, and recently announced it would cut more than 400 jobs across two factories in Iowa.
Meanwhile, analysts are revising their projections downward as the tractor giant gears up to report second-quarter earnings this week. Investors anticipate weaker sales with U.S. farmer income declining, leaving little room for equipment and crop protection purchases in recent months.
John Deere Cylinder Works has about 280 employees, withabout 190 in production and maintenance jobs.