Homeland Security Audit Decimates Workforce at Lake Norden Dairy
- Steve Jurrens
- Oct 12
- 2 min read
Northeast Radio SD News – Lake Norden, SD - A federal audit by the Department of Homeland Security has drastically reduced the workforce at Drumgoon Dairy near Lake Norden, South Dakota. This raises concerns about the future of the state's booming dairy industry, as South Dakota Searchlight reported.
Co-owner Dorothy Elliott confirmed that after the audit in late May, 38 of the dairy's employees were let go because they had "inaccurate, outdated or incomplete proof of U.S. citizenship or permission to work." The dairy's total staff was cut from over 50 employees to just 16.
Elliott noted that many of the terminated workers were hardworking and had been with the operation for years. She was required to fire employees who could not resolve issues with their federal employment documents. The audit, distinct from an immigration raid, is meant to ensure businesses comply with federal employment laws.
The audit's aftermath has forced remaining employees to work without breaks, and Elliott fears some agricultural operations will be forced out of business. She is now spending over $110,000 to hire 22 visa workers from Mexico but still needs to hire more staff.
The incident highlights a broader issue of labor shortages in the state's agriculture industry. South Dakota Farm Bureau President Scott VanderWal noted that employers are in a difficult position, obligated to accept documents that "reasonably appear to be genuine," yet risking legal issues for rejecting valid ones.
South Dakota Farmers Union President Doug Sombke called the federal dairy audits "stupid," questioning the policy of displacing workers when the state's unemployment rate is low and agricultural jobs are difficult to fill.
U.S. Senate Majority Leader John Thune, Senator Mike Rounds, and Representative Dusty Johnson have all expressed a desire to see reforms in legal immigration and work visa programs, particularly to address the year-round labor needs of the dairy industry. However, Elliott stated she has heard "absolutely no passion for any kind of change to the status quo" from federal officials.
South Dakota’s dairy industry has grown significantly after state government efforts to recruit farmers over the past two decades, with its economic impact reaching $5.67 billion in 2023. Producers and farm advocates warn that without a sustainable workforce, the industry’s success could be jeopardized, potentially leading to higher consumer prices for dairy products.
