The UAW counteroffer to Deere pushes back on John Deere’s proposed early extension of its collective bargaining agreement, with union leaders pressing for higher wages, added retirement contributions, and stronger job protections as the company has shifted some operations to Mexico in recent years.
UAW Vice President Laura Dickerson said the union sees the same industry conditions that Deere cites and is aware of the company’s financial performance. She argued that workers who make the equipment should have a comparable voice to shareholders in determining next steps.
UAW counteroffer to Deere and contract extension details
According to prior statements about Deere’s proposal, the company has said the extension would preserve current terms on healthcare, cost-of-living adjustments, and pension benefits, while adding further compensation. The extension would run through 2029.
Dickerson, who also directs the union’s Agricultural Implement Department, said renegotiating an existing deal is part of bargaining and that any change, including a new expiration date, must go through the process. She added that the union will not abandon that process to meet the company’s preferred timeline.
In its counterproposal, the UAW is seeking a 5 percent wage increase in each year of the extended term, compared with Deere’s proposed 4 percent. The union also wants cost-of-living adjustments folded into base pay, a commitment to no additional outsourcing during the extension, and a $2,000 contribution to cash balance retirement accounts for each full year of service as of October 1, 2026.
Deere said in a statement that it was not seeking early negotiations and characterized the UAW’s counter as roughly $500 million more than the company’s offer. The company said that position runs counter to its goal of providing continuity and certainty for employees at a time of lower equipment demand and an uncertain market outlook.
Deere has indicated it expects the UAW to vote on the proposed extension on August 23, with an August 31 deadline to finalize any agreement.
The company operates 60 facilities across 16 states and estimates a $25 billion economic impact in its hometown communities. Deere says it employs about 30,000 people in the United States, with another 50,000 working at independent Deere dealerships.