The John Deere manufacturing plant in Dain City, now part of the Regional Municipality of Welland, will be closed by the American company. The 800 jobs will be transferred to Wisconsin in the U.S. and to Mexico.
John Deere will close its plant in Welland, Ontario and move production to its facilities in Wisconsin and Mexico as part of its effort to improve profitability, Deere said Tuesday. The closure, scheduled for the end of 2009, will affect about 800 employees. Deere expects after-tax charges of about $90 million as a result of the shutdown of which half will be recorded in the fourth quarter. “This amount was not reflected in the company’s earnings forecast for the quarter of $425 million issued last month,” said Deere in a statement. The Welland plant produced utility vehicles and attachments for commercial and consumer equipment and agricultural equipment businesses.
The Welland plant consistently wins employee safety awards:
Welland Works Earns Health and Safety Recognition (April 09, 2008) – John Deere Welland (Ontario) Works has earned the President’s Award from the Industrial Accident Prevention Association (IAPA), a leading Canadian workplace health and safety organization. To qualify for the award, companies must show lost-time injury and illness frequency rates that are significantly below industry averages as compiled by Canada’s Workplace Safety and Insurance Board. Companies also cannot incur any critical injuries or fatalities for two years prior to applying for the award, and must document their efforts to promote public and worker safety in their communities. When Welland Works applied for the award, the factory had exceeded 6.5 million employee work hours, or more than three years, without a lost-time injury. “John Deere Welland Works has proven itself to be a health and safety champion, committed to exceptional health and safety performance,” said Maureen Shaw, IAPA President and CEO. The award will be presented April 22 at the Health & Safety Canada 2008 Conference in Toronto. John Deere Welland Works makes rotary cutters, utility vehicles and loaders.
History of the John Deere Welland Works.
“Constant improvements and decentralization are the keys to Deere’s success.”