I agree with your shop, use loctite. I have two New Hollands where I've loctited axles bearings and they are still nice and tight. Clean both the shaft and the bearing ID with break cleaner and apply Loctite 7471 primer for a good cure. The retaining compound to use is loctite 680 and can be ordered from McMaster.
I would be very hesitant to touch that shaft with a stick welder as all you would do is add stress concentrations which weaken it. Spray weld or brazing is the only way I would build it up. Those axles just work way too hard and all that will eventually happen is you'll induce a fatigue crack if you stick weld on it.
The key with New Holland axles is make certain you get the preload right. And with the outboard bearing, if it's spun, make sure the shoulder the bearing presses against is smooth and doesn't have ridges. If it's not, you'll end up back at the same spot.
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