Update on John Deere’s Contract Extension Offer to the UAW

03 August 2026, US: Earlier this month (July) we proposed a two-year contract extension to the UAW. The extension offered to significantly enhance Deere’s industry-leading wages, benefits, and protections. The offer allows us to support our customers and focus on the long-term health of our business.

Deere made clear that it was not looking to engage in early negotiations. Despite that, the UAW made a counteroffer that significantly exceeds our proposal — by roughly half a billion dollars. That counteroffer is contrary to Deere’s goal of providing continuity and certainty for our employees when equipment demand is down and the market outlook remains uncertain.

In light of this, we have informed the UAW that we remain firm on our industry-leading extension offer.

Additional details:

• The current collective bargaining agreement with the UAW is set to expire in fall 2027. With agricultural equipment demand down and the outlook uncertain, we’ve proposed an extension now to provide greater continuity and certainty for employees, the business, and our customers.
• Our proposal preserves everything in the current agreement — including market-leading healthcare coverage, Cost of Living Adjustment (COLA), and pension benefits — while also providing added confidence and stability through additional compensation for employees and their families during a period of economic volatility. For example, since 2021, John Deere production employees covered under the current contract have enjoyed a 16.5% COLA in addition to an annual general wage increase. Moreover, employees covered under this contract do not pay a deductible for their health insurance. This stability can only be secured through a contract extension now. The proposed extension would lock in these terms through 2029.
• We understand a vote on our current offer will occur Aug. 23. We encourage the union to proceed with that vote.

Our focus remains on improving our products and transforming how we work for our customers in a highly competitive environment. Our offer supports our employees, maintains reliability for our customers, and strengthens the communities where we live and work.

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