Farm and construction equipment manufacturing giant Deere & Co. says it’s moving tractor cab production from Iowa to a plant in Mexico.
The Moline, Illinois, company said Thursday it plans to move that part of its production operations from Waterloo to its components plant in Ramos Arizpe, Mexico.
Deere said the move, expected to be made in 2024, will make room for new products.
“The decision to move cab production ensures the company can balance workforce needs within the tight labor market, while also ensuring Waterloo can open up floor space to manufacture new products,” the company said in a statement.
The number of employees affected will depend on production volumes and employee attrition over the next two years, as well as new product program needs, the statement said.
Without attrition, about 250 workers could lose their jobs.
Leaders at United Auto Workers Local 838, the union that represents about 3,000 workers in Waterloo, couldn’t immediately be reached for comment Thursday.
Last fall, 10,100 UAW workers went on strike for five weeks before approving a new six-year contract, gaining members increased hourly wages as well as improved retirement benefits.
The vote came after union members rejected two previous contracts proposed by Deere and the UAW. It was the first strike at Deere since 1986.
With information from the Desmoine Register