DETROIT — Basic Motors will briefly cut back paychecks for all salaried staff globally by 20 % to preserve money because it weathers the coronavirus outbreak, however the automaker is promising to make up for the misplaced revenue inside a yr.
As well as, 6,500 salaried employees within the U.S. — principally folks in engineering and manufacturing capabilities who can’t work remotely — might be positioned on go away and obtain 75 % of standard pay in the course of the downtime.
“GM’s enterprise and its steadiness sheet was very sturdy earlier than the COVID-19 outbreak and the steps we’re taking now will assist make sure that we will regain our momentum as shortly as potential after this disaster is over,” the corporate stated in an announcement Thursday.
The pay deferments will begin April 1 and probably might final about six months, GM spokesman Jim Cain stated.
Staff will obtain misplaced earnings in a lump-sum cost no later than March 15, 2021, GM stated.
The transfer will end in “important” fast money financial savings,…