(Deposit)
OTTUMWA, Iowa – On Wednesday, John Deere officials announced the closure of two plants in Iowa, including Ottumwa.
Company officials said, “Due to changing customer demand and available manufacturing capabilities, production of windrowers will transition from Ottumwa Works to Des Moines Works by the end of fiscal 2027, and production of round balers is expected to follow by the end of fiscal 2028. Once the transition is complete, Deere intends to close its Ottumwa plant, Iowa.
Additionally, production of Hagie STS sprayers will move to Deere’s Thibodaux, Louisiana, plant and manufacturing operations at the Clarion, Iowa, plant will end by fiscal 2029.
Representatives added that the change in production sites is “designed to strengthen its U.S. manufacturing operations and continue to position the company for long-term growth.”
Company officials added: “John Deere recognizes the impact these decisions will have on employees and communities. Throughout the transition, the company will collaborate with employees, union representatives where appropriate, local leaders and community stakeholders, and is committed to identifying the best future use of the Ottumwa and Clarion sites.”
Just last week, it was announced that previously laid off employees in Waterloo, Quad Cities, Ottumwa and Dubuque had been asked to return to work.
Union representatives tell Tri-State Trusted News that approximately 300 people currently work at the Ottumwa plant.
On Wednesday afternoon, Ottumwa city officials released the following statement….
It is disappointing to learn that John Deere is making a transition that will close the Ottumwa Works plant. John Deere has been a part of Ottumwa and our identity for a long time. We would like to thank John Deere for the investment they have made in Ottumwa for so long. We appreciate all they have done for our community and for the commitment they are making to help Ottumwa through this transition and to bring a future business to Ottumwa.
Seeing this part of Ottumwa disappear is not something anyone in Ottumwa wants. The impact of this loss creates a challenge for Ottumwa. We are looking at losing around 400 jobs. John Deere spent approximately $100,000 on economic initiatives each year and the amount of lost wages is more than $30,000,000.
We would like to thank the John Deere Foundation, which has confirmed its commitment of nearly $1,000,000 to support Ottumwa and Clarion over the next three years. “The Foundation also plans to continue providing financial assistance to both communities over the next decade. »
It’s hard to see this piece of Ottumwa go. We continue to take advantage of the opportunities we have that bring new technology, new industry and new growth to Ottumwa and Wapello County. The City of Ottumwa worked with the University of Iowa to study the impact and recovery needed in the event of the loss of a large employer like John Deere. This study will be invaluable throughout this transition. We strive to bring growth to our employers who continue to invest in Ottumwa, like JBS, Ottumwa Regional Health Center and Indian Hills Community College. We have already begun the work necessary to mitigate this impact simply by working diligently toward economic and industrial growth in Ottumwa.
During this transition, it is very important that we remember that our best resource is our people. Ottumwa is resilient and we will care for the families in Ottumwa who are affected. As the City of Ottumwa, we are here to help connect these families to resources in our community, like Iowa Workforce, IHCC, Small Business Development Centers and, of course, the new growth we are working diligently to bring to Ottumwa. Ottumwa will achieve this, we are working towards new future growth and we are excited about the new opportunities that present themselves.
Marc E. Roe, executive director of Greater Ottumwa Partners in Progress, released the following statement:
Today’s announcement is certainly disappointing news for Ottumwa and the surrounding region. John Deere has been part of the social fabric of this community for more than a century, providing good-paying jobs, supporting local families and contributing to our economy far beyond the walls of its facilities.
Our first concern concerns the employees and their families who could be affected by this decision. They are our friends, our neighbors and people who have spent years, and in some cases generations, building their careers at John Deere. We recognize the uncertainty this announcement creates for them.
From an economic development perspective, we also recognize that the impact of this shutdown extends well beyond the jobs themselves. These are jobs that support our local businesses, contribute to our tax base, and help support our community. When a major employer leaves, we’re not just concerned about job loss. We are concerned about the potential loss of families who live here, shop here, send their children to our schools and contribute to the social fabric of our community. This is why our attention must go beyond simply replacing jobs. We must work to retain the people who occupied them.
Ottumwa has a strong manufacturing heritage, a skilled workforce and a community that has demonstrated the ability to adapt to economic challenges. These assets have not disappeared because of this announcement. Our responsibility now is to work with John Deere, our city, our workforce development partners and regional employers to identify opportunities that allow impacted employees to continue building their lives and careers right here in southern Iowa. We must also look to the future of the facility itself and the opportunities it might present for further investment.
This is a difficult time for Ottumwa, and we are not going to downplay its importance. But Ottumwa is not defined by any particular employer, and this announcement does not determine our economic future. For more than a century, John Deere has played an important role in Ottumwa’s history. We are grateful to the generations of men and women who worked there and helped build our community. This story deserves to be recognized and the impact of this decision deserves to be taken seriously.
But the Ottumwa story was never written by a single company. It was written by generations of people who invested in this community, built businesses, raised families, and worked to make the future better than today.
Our responsibility now is to honor that history, stand with those who will be impacted, and ensure that the next chapter in Ottumwa’s economic future is the one we are actively working to write.
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