© 2024 Michigan State University Board of Trustees
Public Media from Michigan State University
Play Live Radio
Next Up:
0:00 0:00
Available On Air Stations

AP Source: GM to restore salaried worker pay cuts


DETROIT, MI – A person familiar with the matter says General Motors Co. is telling employees in an e-mail that it will restore white-collar pay cuts made earlier this year, as of Sept. 1.

The person requested anonymity because no official announcement
has been made.

The company cut executive-level pay by 10 percent, manager pay by 7% and most other salaries by 5% in the spring as it struggled to avoid bankruptcy protection.

The cuts in the U.S., Canada and several other countries saved millions but GM ended up spending 40 days in bankruptcy protection. It emerged on July 10.

Workers received GM's e-mail on Friday, the person said. The e-mail says the reinvention of the company is just beginning and it appreciates the sacrifices employees have made.

Journalism at this station is made possible by donors who value local reporting. Donate today to keep stories like this one coming. It is thanks to your generosity that we can keep this content free and accessible for everyone. Thanks!