Freightliner has announced
a companywide rollback on pay and benefits affecting thousands of nonunion
workers as the company continues to suffer from yearlong depression in truck
orders and a guarantee to buy back used trucks on a limited basis. The news
comes as the company prepares to announce restructuring plans later this month.
According to The Oregonian,
the company is cutting costs with a 5-percent reduction in salaries and wages,
increasing prescription drug co-pays and the elimination of 2001 year-end
bonuses' for 13,100 nonunion employees.
Freightliner has also
asked 1,200 union employees at its Portland headquarters to consider similar
wage and benefit concessions to keep its truck- and parts-manufacturing plants
on Swan Island from closing. Workers are expected to vote this week on the
proposal. Their current labor contract calls for slight wage increases each
year, as well as bonuses.
Union members have been
told that the company expects to lose $1.2 billion this year and that its
parent, DaimlerChrysler, is considering closing Portland's plants, the newspaper
reported. The company also operates plants in North Carolina, Canada and Mexico
and employs a total of 15,800.