Komatsu to cut jobs and production

By Chris Sleight25 February 2009

Kunio Noji, president & CEO of Komatsu.

Kunio Noji, president & CEO of Komatsu.

Komatsu has announced production cuts, with six of its ten Japanese factories slowing down to two-day weeks. In addition it will cut 2000 jobs outside Japan.

All of Komatsu's domestic plants have slowed to three or four working days per week since the start of the year, and the reduction to a two-day week will begin at six of them in March.

When not manufacturing equipment, workers will receive training and education. All of Komatsu's 2600 full-time and 1500 temporary production workers in Japan will receive paid leave for non-working days, and their salaries will not be changed

Outside Japan, Komatsu plans to cut some 2000 jobs in response to weak construction markets in developed regions such as Europe and the US.

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