Following recent Iowa layoffs, John Deere has announced another significant restructuring move that will affect operations across the state.
According to multiple Iowa news outlets, the company plans to relocate certain jobs from its Ottumwa and Des Moines facilities to other John Deere locations in Iowa and Illinois. The brand said this change is part of an effort to increase efficiency and reduce costs within its manufacturing and testing operations.
KWWL reported that the relocation will specifically involve product verification and validation testing currently performed at Ottumwa Works and Des Moines Works. These functions will be moved to other John Deere facilities better equipped to consolidate testing operations and streamline production. A company spokesperson stated that the transition aims to “reduce overhead costs and enhance operational efficiency.” The shift is scheduled to occur during fiscal year 2026.
John Deere has not yet disclosed how many positions will be impacted by the move. The company noted that the number of affected employees will depend on production needs, facility requirements, and staff turnover, and that some workers will have the opportunity to relocate to the new sites. This decision follows an earlier announcement made in September 2025, when employees at John Deere’s Waterloo facility were laid off due to lower demand and reduced order volumes.
Meanwhile, WeAreIowa reported that the company is focused on maintaining long-term competitiveness by consolidating operations and making better use of existing resources. The relocation aligns with Deere’s broader strategy to modernize its U.S. manufacturing network and adapt to shifting market conditions.
Overall, reports from the company and several Iowa news outlets indicate that John Deere is continuing its efforts to balance cost reduction with operational improvement. The company expects to complete the restructuring during fiscal year 2026, though details about the receiving facilities and any potential expansions have not yet been disclosed.
»Related: John Deere to lay off 238 workers as equipment demand slows
