Cutbacks Announced At Toyota

It's another sign of the times. Thursday afternoon, Toyota announced it will cut bonuses and pay raises in an effort to save money during these tough times.

Like most automakers, sales at Toyota have been way down in the past few months, so the company is looking to cut back on production.

Employees at the plant in Georgetown met with company officials today to learn how the cutbacks would affect them.

Toyota says it is trying to protect jobs during this trying time.

"We've taken responsible, step-by-step actions to address this issue in recent months, and we hope the new measures will help us adjust while protecting jobs," said Jim Wiseman, vice president of external affairs for Toyota Motor Engineering & Manufacturing North America (TEMA).

Previously, the company scheduled non-production days, put a hiring freeze in place, stopped overtime and suspended capitol spending.

In addition to those measures, Toyota is now adding even more non-production days, eliminating bonuses and cutting pay for executives, reducing bonuses for team members and eliminating pay raises for the time being.

Toyota is also offering a voluntary exit program to team members.

These cuts are not isolated to Georgetown. All Toyota plants in North America received similar news on Thursday.

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  • by ron Location: new albany ohio on Mar 5, 2009 at 05:59 PM
    Toyotas presence in our country has been bittersweet.Yes ,they may have provided a few jobs but they helped cause the US vehicle market to be divided up ,thus hurting thousands of families in Wayne County Michigan/Detroit and they are Americans too.Toyota is somehow praised ,even though 3 million Camry and Avalon engines conked out in recent years.It would be great if Japan opened its market to American products,just like Toyota gets to operate here.Toyota has the American news media on its side and the American car and truck companies get slammed for everything,even though their vehicles are as good as or better than the foreign brands.Please refer to the 2008 JD POWERS long term reliabilty studies on 90,000 customers and you will find several American brands in the top 10!
  • by Larissa Location: Georgetown on Mar 4, 2009 at 08:13 PM
    For everyone, I actually got laid off from Toyota recently and I hope that was a wake up call to everyone. I worked there for three years as a temporary and planned on working there longer, but due to the crappy economy it gave me no choice. People need to learn not to take anything for granted and to be lucky that they even have a job at all. There are many many people who are barely making it and living off of unemployment while they are trying to find a job. I was fortunate that I was able to find another job because I had forsight that layoffs were going to happen and I started looking for jobs then.
  • by William Location: seky on Feb 18, 2009 at 07:26 PM
    Funny I am such a bad speller, I am so aware of this, I have often wanderd why sometimes just simple words like and but and or is hard for me to understand where the symbol goes but I do know that fossell fuels is running out and seven billion people cant have three cars with v8 engines all over the world , can you spell twenty one billion Hummers? for all the people to drive world wide? I do know that the market is changing, I see this, small towns less travel more time on computers then roads jobs where people work from home the major jobs in the future will be in Medicine and food services and people are going to reknow the boy next door and marry him and have his children, the japanese understand this they live on a island I should spell that Iland, cause I dont hear a S in Iland I will say this In the world they are people that are so much smarter then you and me that It is more scarry then my spelling but that is ok...I will install spell correction soon just for you and you :)
  • by Beth Location: Richmond on Feb 16, 2009 at 08:38 AM
    My husband has worked at Toyota for 15 years. Although cutting overtime and bonuses has hurt us, it is still sooo bittersweet. More then anything we are thankful he still has his job and that he is still working 40 hours a week. Stacy they were told that hours have been cut to 72 hours a paycheck at the other factories, it could happen to us later, but for not they are trying to avoid it.
  • by stacy Location: georgetown kl on Feb 16, 2009 at 04:31 AM
    what a great idea to not fire anyone and i am really glad they are not and what is going on with this idea with a 4 day work week can anyone answer this for me?
  • by William Location: seky on Feb 15, 2009 at 10:26 PM
    Well In that case I want to see some sky scrapers in seky like On top of pine mountain and in down town and modern rail ways from Knoxville to Lexington I love trains Then maybe London Kentucky could get one of them spinning building you could put a whole holler full of people in it two or three hollows,horses and all, Not a big ole 80 floor one around 15 floors they say they are cheeper you could have a welfair office on one of the floors and second hand store and a restrant, and a old folks home old people would like to see the landscape turn nice views Kentucky needs some of these buildings Im glad Dubia is going broke I was scared that big 155 floor building can be a toomb stone that marks the end of Oil the place where oil died...If Hal Rogers will leave our Doctors alone maybe people can see some peace in Kentucky.,,he keeps comeing up with all kinds of criminals we are not bad people here
  • by Hmm Location: Central KY on Feb 15, 2009 at 11:10 AM
    I hope not everyone is SEKY spells as poorly as William. It amazes me that people in our state are surprised at the state of the economy here, and yet we read comments over and over that make no wonder major businesses will not locate and flourish here.
  • by RT Location: Lexington on Feb 15, 2009 at 08:03 AM
    St.D...Toyota has given you a job. Which many Americans do not have right now. They don't own you, just as you don't own them...they (TMC) makes the decisons to keep the company viable. If you or anyone else do not like those decisons, then leave. The big chain link fence surrounding the plant is to keep non-employees out....not to keep you in. All you and anyone else there needs to do is walk away if you don't like what Toyota is doing. Simple as that. The rest of us would like to keep our jobs and support our families and not continue to listen to the whining and complaining day after day. Again, people who want to complain and whine about today just need to turn in their badge and do something else...They are offering a buyout..take it and find another employer you think will treat you better.
  • by sheena Location: Virginia Beach on Feb 15, 2009 at 05:15 AM
    William - Whatever mediciation your on, please send some my way
  • by William Location: seky on Feb 14, 2009 at 01:22 PM
    Well really the population of the world is moveing tward eight billion, Now you cant have a hummer and 15 room house with air condishion, red meat three times a day and a pill that makes your sex life last until your well past 123 years old, and wrinkle cream that makes you look 30 years old, we have interd the age of the internet the world is a much smaller place its interaction time the middle east is building high speed rail cars from nation to nation , Babes they are think tanks that look in to the future and help people adjust to the changes that will happen, small towns with large screen TVs mega ultra rich citys, with mass transit no more cars like space amish that is a good telivision Idea America of the future??


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