Cummins To Cut Salary, Reduce Working Hours Amid COVID-19 - Quick Facts

(RTTNews) - Providing an update on the actions taken in response to the impact of coronavirus (COVID-19), Cummins Inc. (CMI) announced Friday it is taking temporary actions to lower costs in response to lower demand and customer shutdowns in several countries.

The actions include a reduction of 50 percent in the salary of the CEO, a reduction of 25 percent in Director compensation and a reduction in salary for all other employees in the U.S. of between 10 and 25 percent and a reduction in working hours.

The company will also take similar actions outside the U.S. based on local regulations and collective bargaining obligations. These reductions in pay are intended to be a temporary measure. It will reassess the program at the end of the second quarter.