Deere rehires over 400 workers as UAW talks stall

John Deere is rehiring more than 275 previously laid-off employees at its Waterloo, Iowa, operations. This move is part of a broader push where the company plans to hire over 400 new workers across several Midwest facilities, signaling a strategic workforce rebuild after earlier cuts.

Deere accelerated its rehiring efforts in September and October. The company recalled 375 workers in the Quad Cities region in September alone, with a stated goal of building dealer inventory ahead of planting and harvest cycles. Total callbacks since 2024 now amount to roughly 1,000 employees. This shift follows Deere's elimination of more than 2,000 industrial and corporate jobs earlier in 2024, attributed to slow demand and a weak farm economy.

Hiring expands across Midwest facilities

Deere's hiring campaign extends beyond Iowa. The company is actively recruiting for positions at multiple factories and distribution centers. The expansion targets facilities in Illinois, Iowa, and Kansas.

This hiring spree comes as Deere prepares for upcoming negotiations with the United Auto Workers union. The UAW represents more than 10,000 Deere workers across the United States. Their current contract is set to expire on October 31, 2027. Labor talks with the union collapsed in August, adding urgency to the company's operational planning.

Workforce shifts reflect demand imbalance

The rehiring strategy reflects a distinct split in market demand for Deere's products. The company has raised production rates at its construction equipment factories. This increase is linked to stronger orders, partly driven by the U.S. data center buildout. In contrast, Deere has underproduced at its agricultural equipment factories to match slower demand.

Recent sales figures underscore the challenge in the agricultural sector. U.S. tractor sales fell 16.4% year-over-year in September 2026, with 15,024 units sold compared to 17,979 in September 2025. Combine sales declined 10.9% for the same month. For the first nine months of 2026, tractor sales are down 12.6% and combine sales have fallen 9.4%. Despite these declines, Deere has maintained its full-year expectations for large agricultural equipment sales to be low, citing higher input costs and market uncertainty from tariffs.

Layoffs persist in Des Moines as Deere prepares for UAW talks

Despite the widespread rehiring, workforce reductions persist in some areas. Approximately 125 employees remain on layoff in the Des Moines area. These ongoing layoffs highlight the selective nature of Deere's current labor adjustments. The company's long-term plan includes 20 billion dollars of U.S. manufacturing investment, and its push toward leaner build-to-retail operations continues to affect labor decisions.

The next real tell for the company's direction will be the early stages of UAW contract discussions. Deere is scheduled to release its fourth quarter earnings on November 25, 2026. The company plans to build dealer inventory to support long-term operational planning, with its eyes firmly on the 2027 negotiation deadline.