After DEI Disaster, John Deere Announces More Layoffs Amid Worsening Farm Slump

John Deere is laying off 287 workers from its US-based tractor factories due to a deepening farm slump that has led to a drop in demand for its agricultural equipment. The layoffs are concentrated at its Harvester Works factory in East Moline, Illinois, and its Cylinder operations in Moline, Illinois. Deere executives stated that the layoffs are not due to shifting production to other plants but rather due to a worsening farm economy. Demand for tractors and combines has tumbled since crop prices dropped, borrowing costs remained elevated, and inflation continues eroding farmer margins. This is not the first round of layoffs for the company, as it previously laid off approximately 600 staff members at plants in Illinois and Iowa, and 2,600 workers across other plants. The company has also faced backlash over its diversity, equity, and inclusion initiatives, leading it to scale back on promoting a "woke" workplace for employees. A recent reading from the Purdue University-CME Group Ag Economy Barometer Index showed plunging farm sentiment across the Heartland, hitting levels not seen since 2016. Researchers at the University of Missouri forecasted that farm income will plunge 35% next year, compared to a high in 2022. Former President Trump had previously threatened Deere with tariffs on its tractors and farm equipment if it outsourced manufacturing to Mexico. The farm slump and layoffs have led to a decline in farmer sentiment, with some farmers expressing support for Trump's stance on the issue.