Toyota Offers Buyouts to U.S. White-collar Workers

Feb. 2, 2011
Company said the 'voluntary program is part of an ongoing process of evaluating our operations and aligning them with our future growth'

Toyota on Feb. 1 said it has offered a buyout package to white-collar workers in the United States. "This voluntary program is part of an ongoing process of evaluating our operations and aligning them with our future growth, "Toyota said.

"It will allow for further restructuring and enable us to expand areas of responsibility and increase efficiency."

Toyota said it did not have a target for how many positions it was trying to eliminate with the program, nor how many workers were eligible. The company did not immediately return a request for comment.

Eligible managers at Toyota's automotive operations group and customer service office at its U.S. headquarters in California will be offered $20,000, two weeks salary for every year worked plus 10 weeks additional severance.

The buyouts come as Toyota works to recover from a painful 2010 which saw its once-stellar reputation tarnished by a series of mass recalls for deadly defects.

The automaker has instigated major changes to its U.S. operations in the wake of the scandal, including giving local executives more control.

Copyright Agence France-Presse, 2011

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