WATERLOO, Iowa -- Deere and Co. workers are bitter over an announcement the company plans to lay off 480 wage employees at its component and tractors works near the end of the month, a union official says.
'They're disgusted, they're bitter and they're disillusioned,' said Don Page, an official with United Auto Workers Local 838. 'There's nothing to keep them here. They'll move out of the state and we'll lose some good talent.'
The layoffs, announced Thursday, will become effective Oct. 28.
Deere spokesman Gordon Tjelmeland said the decision represents the 'cumulative effect of a restructuring program' and operational improvements at the Waterloo Works. The components plant manufactures transmissions, hydraulic components and drive trains.
'It's just a result of some extreme pressure to improve the value of our product and the productivity of our plant,' Tjelmeland said. 'We're doing whatever we can to strengthen the company.'
The latest round of layoffs will reduce the total Deere workforce in Waterloo to 7,100 employees, down from 16,160 in the fall of 1979, Tjelmeland said.
Since the 1979 employment peak, he said 5,976 have been laid off and another 3,000 employees either retired early or resigned their positions.
Page criticized the Reagan administration's economic policies and 'lack of concern' for American workers.
'I think it's obscene that they have to lay off more people in this city, in this state and in this country,' Page said. '(The president) ought to shoulder the blame. He's not doing anything to protect jobs for Americans.'
Page said the layoffs will be based on seniority and may effect workers who have been with the company since 1972. While the layoffs were announced in Deere's component and tractor plant, Page said the announcement would create a 'ripple' that would touch workers in all areas of the Waterloo operation.
Gov. Terry Branstad today announced plans to convene a meeting of his 'economic emergency team' to determine what kind of help the state and local government could provide to the layoff victims. The meeting will take place Tuesday at Waterloo City Hall.
'We don't want to leave any stone unturned in our efforts to help those Iowans who have lost their jobs at Deere because of circumstances outside their control,' Branstad said.
Joining Branstad at the meeting will be Job Service of Iowa Director Richard Freeman, Iowa Development Commission Director Jack Bailey, Office for Planning and Programming Director Keith Heffernan, Waterloo Mayor Del Bowers, Black Hawk County Supervisors Chairman Sonia Johannsen and representatives from Deere and the union.
Branstad also announced Friday that Waterloo will be eligible for a $30,000 state grant to provide job training for the layoff victims. He said he also has asked U.S. Labor Secretary William Brock for additional job training funds.
