New Factories, Workers Back: What’s Changed at John Deere?

John Deere has announced the recall of 99 previously laid-off employees to its manufacturing hubs in eastern Iowa.

Starting in mid-February, these workers will rejoin the machinery giant’s Davenport and Dubuque Works sites.

The move signals a shift in the company’s labour management following a period of job lay-offs.

Mark Dickson, VP Manufacturing Earthmoving, says the callbacks are a direct response to a surge in demand across the firm’s construction and forestry divisions.

Industrial expansion across Indiana and North Carolina

The recall follows positive announcements about manufacturing expansion.

The company is set to establish a state-of-the-art parts distribution centre near Hebron, Indiana, alongside a new excavator factory on its campus in Kernersville, North Carolina.

The projects, scheduled for completion next year, are expected to generate hundreds of high-value manufacturing and logistics roles.

John May, Chairman and CEO of John Deere, says: “Our investment in these new facilities underscores John Deere's dedication to strengthening the backbone of American industry and supporting local economies.”

Enhancing the logistics network

John adds: “We believe in building America, and these projects represent our intent to continue driving innovation and job creation in the United States.”

The new Indiana distribution centre is positioned to bolster the company’s nationwide supply chain resilience.

By streamlining regional operations, the facility aims to ensure the rapid delivery of critical equipment and parts.

Denver Caldwell, VP of Aftermarket and Customer Support, highlights the importance of this move for the firm’s diversified client base, saying: “This new facility is an investment in customer expectations around world class product support through parts availability for our US-based agriculture, construction, forestry, mining and turf customers.”

All sustainability, net zero and sustainable procurement leaders should attend:

• Procurement & Supply Chain LIVE: The Net Zero Summit - QEII Centre, London, March 4-5
  
  
• Procurement & Supply Chain LIVE: The US Summit - Navy Pier, Chicago, April 21-22

Co-located with Sustainability LIVE, these events brings together CPOs, CSCO, CSOs, ESG leaders and senior decision-makers at a moment when sustainability, supply chains and commercial performance are increasingly interconnected.

Tickets can be booked online today for The Net Zero Summit and The US Summit. Group discounts available.

Repatriating excavator production from Japan

While this new site will create approximately 150 jobs, John Deere will maintain its primary North American Parts Distribution Centre in Milan, Illinois.

The US$70m investment in the Kernersville factory enables it to handle the production of next-generation excavators that were previously manufactured in Japan.

Once operational, the campus will produce the only excavator designed, developed and manufactured entirely within the United States.

Ryan Campbell, president of Worldwide Construction and Forestry and Power Systems, says: “We are excited to bring this new facility to our Kernersville campus and to be part of the region’s thriving manufacturing community.”

Specific production boosts in Iowa sites

Ryan adds: “Our focus will be on delivering excellence, creating jobs and advancing the legacy of John Deere in American manufacturing.”

In Iowa, the staff recalls will support specific high-demand production lines.

The Davenport Works, which houses six production lines for motor graders, skidders and wheeled feller bunchers, will welcome 75 employees.

These roles span fabrication, machining, welding and material handling for articulated dump trucks.

The Dubuque Works – a 3.9 million-square-foot facility manufacturing backhoes and crawlers – will add 24 employees specifically for production-class dozer assembly.

Long-term capital commitment to American industry

The expansion is part of a decade-long capital expenditure programme.

John clarified the scale of this commitment, saying the investments are a "testament to our confidence in the future of US manufacturing and our unwavering commitment to innovation, quality, and economic growth”.

He added: “These investments further demonstrate our commitment to invest US$20bn in US manufacturing over the next 10 years.”