NEWTON, Iowa—Gates Corp. will shutter a 41-person hydraulic hose production facility located about midway between St. Louis and Indianapolis, in Jasper County, Iowa.
The layoffs are expected to be staggered over a three-week period, beginning Nov. 1 (33 employees), then Nov. 15 (four employees) and again Nov. 22 (four employees), according to a Worker Adjustment and Retraining Notification filed Aug. 1 by Gates.
Gates did not immediately return calls seeking comment.
No reason was given for the closure, however local reports say the closure may be due to Gates' relationship with John Deere as a major supplier of hydraulic hose.
John Deere has cut thousands of jobs in the Heartland recently, due to downturns in the agricultural economy in Iowa and Illinois.
Gates Corp. is a fluid power and power transmission solutions firm based in Denver. The company reported net sales of about $885.5 million for the second quarter of this year, down 5.4 percent year over year.
The firm reported flat sales for the entirety of 2023.
