VAN BUREN TOWNSHIP, Mich. — Visteon will reportedly cut back the salaries of employees currently earning more than $75,000 a year, according to a report today from the Detroit Free Press.
The cost-cutting measure was announced just as the company said it will resume a regular five-day workweek next month. Visteon moved to a four-day workweek during the month of January, cutting back paychecks of about 2,050 employees by 20 percent.
According to the Free Press report, those 2,050 salaried workers at the Van Buren Township, Mich.-based auto supplier will return to working five days a week starting the week of Feb. 1. They will again be paid 100 percent of their base salary, unless they make more than $75,000.
Visteon is among many auto parts suppliers currently struggling due to the dramatic decline in new vehicle product. This move is the company’s latest effort to cut costs. In October 2008, the Visteon announced that it expects to eliminate about 800 jobs around the world by March.