McClatchy Washington Bureau | 02/13/2009 |
Toyota reduces pay, offers buyouts for all North America employees
Toyota announced plans Thursday that would cut the compensation of every one of its manufacturing employees in North America, from top executives to assembly line workers.
The plan will see executives give up anywhere from 25 percent to 30 percent of their total pay, while salaried workers will see a decrease of around 20 percent and production workers will receive smaller bonuses. Production workers at the Georgetown plant, the largest private employer in Central Kentucky, will lose at least a few thousand dollars annually.
The plan avoids layoffs, which have become frequent at rival automakers, but does include a buyout program, reduced work weeks at some plants and no wage increases for the foreseeable future.