Visteon will cut pay by 20 percent for about 2,000 salaried employees as the employees transition into a four-day work week.
Visteon, spun off from Ford in 2000, has been struggling to bolster its financial footing as it continues reducing its reliance on U.S. auto makers while battling competitors. The company hasn't posted an annual profit in at least three years and racked up $335 million in losses for the first three quarter of 2008.Visteon only counts 40 percent of its revenue from Ford, GM and Chrysler.
Other U.S.-based auto-parts makers are feeling the financial strain as auto makers idle plants, and are considering all types of steps including cash-on-delivery, price increases and four-day work weeks.
At Visteon, salaried employees will work four regular workdays and receive 20% less pay for the one day of the week cut from their schedule.
Visteon, spun off from Ford in 2000, has been struggling to bolster its financial footing as it continues reducing its reliance on U.S. auto makers while battling competitors. The company hasn't posted an annual profit in at least three years and racked up $335 million in losses for the first three quarter of 2008.Visteon only counts 40 percent of its revenue from Ford, GM and Chrysler.
Other U.S.-based auto-parts makers are feeling the financial strain as auto makers idle plants, and are considering all types of steps including cash-on-delivery, price increases and four-day work weeks.
At Visteon, salaried employees will work four regular workdays and receive 20% less pay for the one day of the week cut from their schedule.
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