Why are hundreds of Iowans losing their jobs in the ag industry?

Inside Iowa Politics: Ag Industry Cuts
Published: Jul. 9, 2024 at 5:44 PM CDT

DES MOINES, Iowa (Gray TV Iowa Iowa State Capitol Bureau) - Hundreds of Iowans found out this summer that they would lose their jobs. For some, it may be temporary. For others, it will be permanent.

Well-known names in the agricultural industry are laying off workers or shutting down facilities, and that is putting Iowans out of work. The most recent includes confirmation that John Deere is eliminating nearly 600 jobs nationally at three plants as it shifts more work to Mexico, where it can pay employees less.

The decision impacts 310 employees at the company’s plants in Dubuque and Davenport. And it follows previous job cuts and early retirement payouts by the company that also included its operations in Ankeny, Ottumwa and Waterloo.

Here are other agricultural-focused companies that are cutting jobs in Iowa:

  • Tyson Foods -- Closing its pork packaging plant in Perry, which eliminates nearly 1,300 jobs.
  • West Liberty Foods -- Eliminating 260 jobs at its turkey processing plant in West Liberty.
  • Smithfield Foods -- Shutting down its ham boning operation in Altoona, which cuts 314 jobs.
  • Bridgestone-Firestone -- Laying off 89 workers in Des Moines.

There are a combination of factors that have led to these reductions.

  • Moving jobs to Mexico.
  • Combining operations with other U.S. facilities.
  • Farmers spending less with their incomes projected by the USDA to drop 25% compared to last year.
  • Struggles with overproduction, higher costs and lower prices in the hog industry that brought the worst period in a quarter-century.

About the author: Midwest native Dave Price is Gray Television’s Iowa Political Director for 10 stations that broadcast in the state and has been covering local, state and national politics from Iowa since 2001.

Dave produces and hosts “Inside Iowa Politics,” a weekly, in-depth show focused on interviews with top leaders on politics, issues, challenges and solutions that impact the state.

He has written two books about the Iowa Caucuses (“Caucus Chaos” and “Caucus Chaos Trump”). Email him at dave.price@gray.tv. Follow him on X (Twitter): @idaveprice Meta/Facebook: DavePriceNews Instagram: idaveprice and LinkedIn: Dave Price.

Dave welcomes your thoughts on what answers to seek from politicians and what issues challenge our communities.