US Senator Marco Rubio (R-FL) has published a letter he sent to John Deere’s leadership regarding the company’s Diversity, Equity, and Inclusion (DEI) policies as well as plans to relocate some operations to Mexico.
John Deere, an American agricultural machinery company, recently rescinded portions of its DEI policies following criticism of the same.
Shortly thereafter, John Deere announced massive layoffs of its American workforce.
John Deere has reportedly claimed such layoffs were caused by lower net farm income, higher interest rates and market volatility. The layoffs come as the company shifts part of its production to Mexico.
Senator Rubio commended John Deere for rescinding the DEI policies but criticized the company’s decision to relocate production to Mexico.
Through a public letter, Rubio lamented John Deere’s decision to lay off American workers while expanding operations in Mexico.
“America needs a strong manufacturing sector to build the tractors, combines and other implements that make our country’s agricultural self-sufficiency and leadership possible,” said Rubio. “American corporations, like John Deere, have a duty to their workers, nation, customers, and shareholders.”
Rubio pointed to John Deere’s alleged $7 billion stock buybacks to insinuate the company can afford to remain in the US.
“More than 2,000 American workers have been laid off in the past year alone,” claimed Rubio. “Meanwhile, John Deere managed to find $7.2 billion in its budget to spend on stock buybacks last year—an average of $3.6 million per worker laid off.”
The US and Western nations have promoted ‘near-shoring’ of industrial processes to nearby friendly nations, such as Mexico, as an alternative to trading with China.
However, Mexico’s recent election of Claudia Sheinbaum to the presidency has conservative legislators, including Rubio, wary Mexico may cease being a reliable Democratic partner.
“President López Obrador’s and President-elect Sheinbaum’s reforms are a threat to our region’s democratic values,” said Rubio.
