General Motors Will Cut Salaries and Product Programs -- But Not EVs -- to Conserve Cash
General Motors (NYSE: GM) is halting work on some of its future-product programs and temporarily reducing pay for salaried workers to conserve cash as it prepares to weather an extended period of factory shutdowns and sharply lower sales.
In an email to GM employees on Thursday, CEO Mary Barra said that all of GM's salaried employees, worldwide, with a few exceptions, will have 20% of their compensation deferred, beginning on April 1. Executives will defer 25% of pay, and members of the company's senior leadership team will have 30% deferred, she said.
CEO Mary Barra is slashing GM's spending while trying to position the company to thrive when the economy recovers. Image source: General Motors.
Source Fool.com
