Holden cuts exec pay, bonuses (Australian GM agency)

[Robbien]

Source: Singapore Press

SYDNEY - AUSTRALIAN carmaker Holden announced on Thursday that executives would take a 10 per cent pay cut and forgo their bonuses in response to the deepening global downturn.

'This is a critical time for our company and the automotive industry, we are grappling with some of the worst market conditions in living memory,' said Holden spokesman Scott Whiffin.

'To survive in this environment we need to make some rapid changes to cut costs and today we've announced a number of decisions concerning executive and senior manager salary arrangements.'

Holden, which is owned by US carmaker General Motors, said chairman Mark Reuss would be among those at the top to take a 10 percent cut, while senior managers would take a seven percent cut to their pay from May 1.

GM in February flagged 47,000 job cuts to its global workforce, and Whiffin said decisions on Holden's structure and operations would be taken in the coming weeks.

'The outlook for the current year remains exceptionally challenging,' he said, amid reports that the company plans to shed hundreds of jobs.

Read more: http://www.straitstimes.com/Breaking%2BNews/Money/Story/STIStory_349252.html

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Cutting exec pay in order to mitigate staff job cuts, how un-American.