Honda stops production for six days


Reversing course from Tuesday’s statement, Honda this morning announced it is suspending production at the Marysville Auto Plant as well as all other plants around Ohio and North America.
“Honda will suspend production for six days beginning March 23, with current plans to return to production on Tuesday, March 31,” Honda wrote in a statement this morning.
Honda transmission and engine plants in North America that serve Honda auto plants also will suspend production for the same time period.
Honda told associates of the suspension at the end of third shift and the beginning of first shift this morning. Officials said they will update associates on production plans for April “after this suspension.”
Company officials told associates Honda is “committed to sharing information as this situation progresses and we thank you for your cooperation and flexibility during this challenging time.”
This temporary suspension of production will impact approximately 27,600 Honda associates in North America.
Ohio plants impacted include the Marysville Auto Plant, Performance Manufacturing Center, East Liberty Auto Plant, Honda of America Mfg. Anna Engine Plant and Honda Transmission Manufacturing of America. The production suspension also includes manufacturing plants in Indiana, Alabama, Georgia, Canada and Mexico.
While associates will not be reporting to work, they will continue to receive a paycheck.
“During this time, Honda will continue full pay for all of its associates,” according to the release.
Officials said the production adjustment “will allow Honda associates to better prepare and adjust family plans in relation to regional directives to close schools to stop the spread of the COVID-19 virus.”
“This will enable working parents to determine how best to manage the needs of children staying home from school and other required lifestyle adjustments,” according to the release.
The company had already enacted a temporary paid personal leave of absence option for associates impacted by COVID-19 or associates with family members impacted by the virus. Officials said that if an associate has already started the temporary paid leave, it will pause and these six days of paid production suspension will take precedence.
Honda said it will use the production shutdown to continue deep cleaning production facilities and common areas “to further protect associates upon their return to the plants.”
While it will care for its associates, Honda said the decision to close was more about the customers.
In the statement, Honda said the shutdown is “due to an anticipated decline in market demand related to the economic impact of the COVID-19 pandemic.”
The company said the move will reduce production by approximately 40,000 vehicles during these six days.
“As the market impact of the fast-changing COVID-19 situation evolves, Honda will continue to evaluate conditions and make additional adjustments as necessary,” according to the release. “In undertaking this production adjustment, Honda is continuing to manage its business carefully through a measured approach to sales that aligns production with market demand.”

...For the full story, select an option below.

Comments are closed.