Visteon Corp reportedly has offered buyouts to its 8,300 US salaried workers, part of an ongoing effort to trim costs at the struggling company.
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Spokeswoman Kimberly Welch told the Associated Press the buyouts, or voluntary termination incentive programme, offer lump-sum payments in exchange for a worker’s voluntary termination.
The payments will equal 1.5 weeks of the worker’s base salary for every year of employment, Welch reportedly said, and the minimum is 12 weeks of salary and the maximum 52 weeks with workers having until December 13 to accept the offer.
Welch told AP Visteon has not set a goal for the number of salaried workers it hopes or expects to accept the offer.
The Associated Press noted that Visteon, spun off from Ford in 2000, and the car maker’s largest supplier, reported a net loss of $1.36 billion, or $10.86 a share, on revenues of $4.15 billion for the quarter ended 30 September. Production cuts by Ford, rising prices for steel and other raw materials, and high fixed costs have contributed to unexpected losses.
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