‘It hurts’: Iowa city reacts to John Deere’s planned closure
By Pepper Purpura
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OTTUMWA, Iowa (KCCI) — John Deere’s announcement that it plans to close its Ottumwa factory is weighing on families across the community, including Ottumwa Mayor Benjamin Foote’s own family.
“I didn’t expect to get emotional,” Foote said. “The biggest thing would be the impact this is going to have on families that we all know in this community.”
Foote’s daughter and son-in-law work at Deere, as do his son-in-law’s parents. He said the announcement affects people he knows and loves, and that its impact will reach beyond the workers themselves.
“It’s almost like you’re losing a family member,” he said. “Everybody in the community knows people that work at John Deere.”
The factory’s roots in Ottumwa go back to 1900, when Joseph P. Dain opened a hay-equipment manufacturing company there. Deere bought Dain Manufacturing in 1910, and the plant was known as Dain Works until 1947. By the postwar years, it had become Ottumwa’s second-largest employer.
Why Deere is consolidating production
Deere plans to move windrower production from Ottumwa to Des Moines Works by the end of fiscal year 2027, followed by round baler production by the end of fiscal year 2028. The company intends to close the Ottumwa factory after that transition.
In Clarion, production of Hagie STS sprayers is expected to move to Deere’s factory in Thibodaux, Louisiana, beginning in fiscal year 2028. Deere plans to end manufacturing operations at the Clarion factory by fiscal year 2029. Read more about the planned production changes and closures.
Deanna Kovar, president of Deere’s Worldwide Agriculture & Turf Division, said the company is consolidating production to better match its manufacturing capacity with customer demand.
“By consolidating our U.S. manufacturing network, we’re building a stronger, more competitive foundation for future investment and innovation and long-term growth,” Kovar said.
She said the changes are intended to improve flexibility and cost competitiveness while allowing Deere to continue investing in its U.S. manufacturing network. Kovar also said the timing allowed Deere to tell employees in person and meet required notification timelines with union representatives and others.
Deere said about 300 positions could be affected by the announced manufacturing changes at normal production levels. The company is currently operating below normal levels because of the downturn in the agriculture economy. It has not said how many Ottumwa jobs will be affected or how many will move to Des Moines Works.
Kovar said Deere has called back 1,000 employees who had been on layoff over the past two years and announced plans last week to hire 400 more across its factories, primarily in Iowa and Illinois. She said helping farmers grow their businesses and improve profitability is part of what enables Deere to meet demand and bring employees back.
The company has pledged to invest $20 billion in the United States over the next decade. Kovar said the manufacturing changes do not alter that commitment. She also said Deere will manage the transitions with a focus on product quality and delivery for farmers.
The impact beyond the factory For Ottumwa, the effects may reach beyond the factory. Debbie Sylvester, owner of Godfrey’s Ale House, said the restaurant offered Deere employees a free first drink and a half-price second drink Wednesday as a small gesture of support.
“Everybody in the community knows people that work at John Deere,” Sylvester said. “I know it doesn’t help anything. It’s just feeling their pain.”
She said Deere employees frequent her business. Now, she’s wondering if the local economy could feel the impact, too.
“It’s not just the bars and restaurants,” she said. “It’s tire shops. It’s clothing stores. It’s the people that John Deere has brought here.”
Foote said the city is looking for ways to connect affected workers with other employers, job training and small-business resources. He said employers such as JBS and the regional health center may have openings, while Indian Hills Community College could help workers train for different jobs.
“Anything we can do to help keep them here, I want us to be able to do and at least try,” Foote said. “If that doesn’t work or they feel like, ‘No, it’s better for me to move on,’ I totally understand. How can we help you make that transition better?”
Community support and the factory site
The future of the Ottumwa factory site is unsettled. Deere owns the facility and has not announced a plan for it. Foote said he understands Deere has made a commitment to help find another business or use for the property. He said parts of the building are old, but its size and existing infrastructure could create opportunities for new industry.
Foote also said Deere has invested in Ottumwa for more than 100 years, with generations of local families working at the plant.
“I do want to thank John Deere. Seems odd, but they have invested in the community of Ottumwa for over 100 years,” he said.
The John Deere Foundation has committed nearly $1 million total to Ottumwa and Clarion over the next three years. Deere said the commitment will not change because of the closures, and the foundation plans to continue providing financial assistance to both communities over the next decade. Foote said he is working to arrange a meeting with the foundation to discuss how the funding could support the communities during the transition.
“It hurts,” Foote said. “Now, it’s time to roll up our sleeves and help each other out.”
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