US: American Axle considers buyouts for 1,100 laid-off workers

摘要

American Axle & Manufacturing is pushing to end its jobs bank, which provides pay and benefits to about 1,100 laid-off workers, reports Associated Press. With this move the company expects to save as much as US$75m in pre-tax earnings annually. Chairman and chief executive officer Richard Dauch and other officials told Wall Street analysts they want to take up the issue when the company renegotiates labour contracts with the United Auto Workers in 2008. "The company's management is dead set on putting an end to jobs bank. While eliminating the jobs bank before their labour contract ends in February 2008 is not realistic, management believes that a solution involving buyouts and buydowns is achievable. The payback from any deal would be huge," Dauch wrote in a report to investors.