Deere recalling Ottumwa workers

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October 28, 2009

OTTUMWA — Deere & Company is recalling the majority of Ottumwa employees beginning late next month.

The company announced Wednesday that 452 employees will be called back to the Ottumwa factory beginning Nov. 30, with all of the returning employees back at work within a month. The move clears the way for the company to begin production of the 2010 line of equipment.

A total of 78 workers will remain on layoff.

Deere laid off the bulk of its Ottumwa workforce in June, citing economic conditions and declining demand. City officials welcomed their return to work.

“It’s a great announcement and we’re just looking forward to having those employees back at work. We see this as a sign of recovery in our economy,” said City Administrator Joe Helfenberger.

A spokesperson for Iowa Workforce Development agreed the callback will have positive impacts for Ottumwa and the region. But she stopped short of saying it's a full-blown recovery for southeast Iowa.

“It’s very good news for the area as a whole not just Ottumwa,” said Kerry Koonce. “It’s positive sign for manufacturing, but it’s still a long ways from saying that we’re making a full recovery.”

Iowa has an economy that is seasonal, largely based on the agriculture industry, Koonce said. The state sees higher unemployment in November, December, January and February.

“I don’t think it’s safe to say we’re out of this,” Koonce said. “They say that in Iowa, we have to add 2,000 jobs each month for the economy to be considered growing.”

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