Family-Owned Manufacturer Flourishes in Rural Nebraska

“Make playing with fire your day job!” That is the slogan Klute advertises on a billboard along Highway 81 in York, Nebraska to catch the attention of potential employees. With accelerating demand for its products, the steel fabricator is continually recruiting welders and machine operators to join its team.

In 2008, Klute moved to its current property between Bradshaw and York with 12 employees. Today, the rural Nebraska manufacturer employs 175 people and operates some of the biggest, most technologically advanced machinery in the country. In the past 18 months, Klute has hired 100+ new team members to support its rapid growth. This spring, the company opened a satellite office in west Omaha with space for 25 staff as it hires additional drafters and engineers. Klute has also made major investments in equipment, buying one of the world’s largest tube lasers along with cutting-edge 3D robotic welding machines.

Demand, quality drive Klute’s growth

Klute designs and manufactures steel products for electrical substations throughout the U.S. “As you drive past a substation, you’ll see a big transformer sitting in the middle and high-voltage lines that run into it,” said Jordan Klute, president of Klute. “We’re doing the steel that holds all that equipment up and supports the transmission line as it comes into the substation fence.”

Market demand for Klute’s products is surging, with substations being built nationwide to serve new data centers, power plants, industrial projects, and wind or solar farms. Along with increasing demand, Jordan Klute credits the company’s growth to excellent quality—both of its products and its people. “We definitely do a good job for our customers,” he said. “I’m biased, of course, but I think our sales and growth speak to that quality. We also have great employees; you can’t grow like this without having good people.”

With no sign of demand slowing, Klute has a seemingly endless opportunity to grow. “We’re booked out 60 weeks right now,” said Jordan Klute. “The only thing stopping us from being four times as big is that we want to grow at a pace that ensures we’re sending quality products out the door.” 

Built and run by Nebraska boomerangs

Jordan’s grandfather, Don Klute, started the business that now bears his name. Raised on a family farm in Nebraska, Don graduated from Bradshaw High School in 1945. He served in the Korean War and farmed berries in Oregon before boomeranging back to Nebraska. Skilled as a welder, Don opened Klute in 1961 to repair tractors and plows for farmers. Eventually, he began making agricultural equipment, such as boxes and hoists for trucks to haul grain. Don’s son, Steve Klute, joined the business in 1977, and together they grew it to 10+ employees.

In the late 1990s, during a downturn in the agricultural economy, Steve had the opportunity to do a small steel project for a customer working with utilities. The project went well and led to repeat business. Over time, Klute received more and more orders for fabricated steel products. To focus on making steel for electric utilities, the family chose to sell the farm/trucking equipment side of the business (which remains locally owned and operated) in 2009.

In the early 2010s, Steve shared his vision to expand the business with his son, Jordan. At the time, Jordan was living out of state. “My dad and I were sitting down together during vacation, probably one of the few vacations my parents have ever taken,” he recalled. “He said we should start making these big steel poles, put in a press brake and other expensive equipment, and that we were going to need engineering.” The plan was bold, and Jordan agreed to come back to Nebraska (after having lived in New York and Missouri) to help make it happen.

Investing in people and in-house production

As a family-owned business, Klute provides its team with competitive wages and a supportive culture. “We spent a year-and-a-half going through our handbook, and we’re unveiling changes around flexibility and PTO that are beneficial to employees. People want that work-life balance,” explained Jordan Klute. “If one person is gone for three hours to their kid’s football game, that isn’t going to affect the rest of our production.”

“Klute has built a really good culture that spreads out into the community. They are one of the most active on our jobs directory, which we promote nationally,” said Lisa Hurley, Executive Director of the York County Development Corporation (YCDC). She added that Klute is an active partner in work to strengthen the county’s business environment, supports area vendors, and is involved with local nonprofits. “Klute is a strong example of what it means to be community-minded,” she said.

Klute custom-builds its steel structures, with nearly all the manufacturing done in-house. “What’s different about us versus a lot of our competitors is that we have the equipment. A lot of places do the welding and then outsource the creation process, the machine work. We’ve made the investment [to do it ourselves],” explained Jordan Klute.

Klute receives two semi-truck loads of steel each day to its facility. Its team then cuts and fabricates the steel to fit the clients’ orders. “We bring in flat sheets, cut them on this machine, and load them over here,” Klute explained, pointing to some of their recently purchased AI-powered equipment. “This press brake is one of the biggest you can buy in the world. It can bend up to 3/4-inch-thick, 60-foot steel. In the other building there’s a pole made of 5/8-inch-thick material that weighs 30,000 pounds.” These finished products are then transported across the country, one piece per truck.

Currently, Klute employs 70 welders and expects to hire dozens more in the coming years. “There’s not a single thing that’s repeatable in our plant,” explained Jordan Klute. “Since every piece is different, our welding work is not monotonous. Every piece you pick up here is a new job. You’re challenging your brain every day, while getting to work with your hands.” 

Built to grow in Nebraska

The Nebraska Department of Economic Development (DED) has supported Klute’s investments in its workforce and facilities. “We applied for grants from DED through Intern Nebraska,” said Kiley Palmertree, Klute’s recruiting manager. “This year, we have six [internships] we are going to fill. We’re going to have some engineers starting, we have an NDT [non-destructive testing technician], and then a couple drafters that we are getting finalized. It has been helpful to get them in and gain exposure.”

In 2023, DED awarded York County Development Corporation a Site and Building Development Fund (SBDF) grant of $200,000. The funds supported construction of a 48,000-square-foot loading facility for trucks that transport Klute’s products. The resulting business growth led to Klute completing its newest building in October 2024, providing room to expand production.

“We have done so many additions. This north addition is new as of two years ago. That one is new as of a year ago, and this is new as of October,” said Jordan Klute, pointing to three separate facilities. “We’re thankful for all the support we’re getting.”

See open positions at Klute here: https://kluteinc.com/careers/.

Read more about rural manufacturing in Nebraska here.