Honda to stop paying furloughed U.S. workers for three weeks amid coronavirus

The furloughed Honda workers won’t receive salaries from April 13 to May 1, making them eligible to get unemployment benefits from local authorities.
By : Bloomberg
| Updated on: 07 Apr 2020, 18:14 PM
File photo (REUTERS)
File photo (REUTERS)
File photo (REUTERS)
File photo

Honda Motor Co. said it will stop paying furloughed workers at all of its 10 factories in the U.S. for three weeks as the coronavirus roils the economy.

Those affected won’t receive salaries from April 13 to May 1, making them eligible to get unemployment benefits from local authorities, said Teruhiko Tatebe, a Honda spokesman. The company, whose sales in the U.S. tumbled 48% last month, has suspended its U.S. plants since March 23.

(Also read: Honda Cars taking steps to help dealers, customers amid lockdown)

Millions of Americans are expected to file for unemployment for a third straight week when figures are released on Thursday, according to the median of estimates compiled by Bloomberg.

Trending Cars

Find More Cars

Nikkei reported earlier that the automaker is planning to furlough about 10,000 U.S. workers. Honda declined to specify how many workers it’s laying off.

FOLLOW US:Stay Updated with latest content - Subscribe us on
FOLLOW US:Stay Updated with latest content - Subscribe us on
First Published Date: 07 Apr 2020, 18:14 PM IST
Recommended For You
View All
NEXT ARTICLE BEGINS

Please provide your details to get Personalized Offers on

Choose city
+91 | Choose city
Choose city
Choose city
By clicking "View Offers" you Agree to our Terms and Privacy Policy

Dear Name

Please verify your mobile number.

+91 | Choose city