A new wage proposal from agricultural manufacturer Deere & Co., also known as John Deere, was rejected by union members on Thursday morning, prompting more than 10,000 union workers to go on strike, according to Forbes. On Oct. 10, about 90 percent of union members voted to reject the first draft agreement reached between the union and Deere.
More than 10,000 John Deere employees, represented by the UAW, walked of the job after failing to agree to term of a new contract. A new wage proposal from agricultural manufacturer Deere & Co., also known as John Deere, was rejected by union members on Thursday morning, prompting more than 10,000 union workers to go on strike. (Photo by Scott Olson/Getty Images)
The Strike
This is the first significant strike at John Deere in 35 years. Employees, many of whom have been working longer hours due to a shortage of workers caused by the pandemic, say they are fed up. The company is best known for its iconic green and yellow farm equipment.
According to Des Moines Register, the union stated that it will not release contract details until after members have had an opportunity to meet and review the agreement. The agreement includes “enhanced economic gains,” said by the UAW Vice President and Director of Agricultural Implement Department Chuck Browning in a statement.
For now, the union said its 10,100 members who work for John Deere would go on strike until the members approve a contract. The UAW did not specify a date for the balloting. A tentative new agreement has been reached between the United Auto Workers International and Deere & Co., which could mean an end to the strike that began over two weeks ago.
John Deere employees picket outside John Deere Davenport Works Thursday, Oct. 14, 202. A new wage proposal from agricultural manufacturer Deere & Co., also known as John Deere, was rejected by union members on Thursday morning, prompting more than 10,000 union workers to go on strike. (Photo: Meg McLaughlin/Quad City Times via AP)
New Contract
In accordance with an outline of a new contract between the Company and the union, which was released on Sunday afternoon, 10,100 striking UAW members will receive 10 percent wage increases, compared to the gains they received earlier this year, as per Des Moines Register. A union contract breakdown document that was shared with ABC News by the union and additionally, employees would be eligible for an $8,500 ratification bonus.
In addition, the Company offered a more generous pension program, with 25-year veteran employees receiving an additional $100 a month once they reached the age of retirement. The Company wished to terminate the pension program for employees hired after November 1.
According to the Des Moines Register, from $5.7 billion to $5.9 billion, Executives expect Deere & Co. to earn $1 billion in profit this year, which would represent a 63 percent increase over the Company’s previous highest-earning year.
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