Honda Motorcycles offers voluntary retirement to employees in India1 min read . Updated: 06 Jan 2021, 11:32 AM IST
Honda Motorcycles and Scooters India made the voluntary retirement offer in a letter addressed to its employees.
- The letter read that offer has been made to maintain the company's existence in a competitive market amid slowing demand due to Covid-19.
Honda Motor Co is offering voluntary retirement to employees of its motorcycles and scooters unit in India amid slowing demand in the country following the Covid-19 pandemic, a company letter shows.
Honda Motorcycles and Scooters India (HMSI), the country's second-largest manufacturer of two-wheelers, made the offer to "maintain its existence" in a competitive market, it said in a letter to its employees' union dated January 5.
"The Indian auto industry is going through an exceptionally challenging phase considering the prolonged demand slowdown and economic fallout from the coronavirus crisis," HMSI said in the letter, which was reviewed by Reuters.
(Also read | HMSI reports 3% rise in December sales at 2,63,027 units)
"In these uncertain times, we are aligning our production strategy for improved overall operational efficiency with the objective of long term business sustainability," it said.
HMSI did not immediately respond to an email seeking comment.
This story has been published from a wire agency feed without modifications to the text.