Honda to employees: “Oops, we miscalculated your bonus, please give some of it back”
Honda, a Japanese car manufacturer, claims improperly overpaid hundreds of its workers and has ordered them to repay a portion of their bonuses.
Employees at the Marysville Honda Motor Co. facility in Ohio were given nine days—until September 22—to return a portion of their incentives, which frequently totaled several hundred dollars.
Staff members were given the option to pick how they wished to refund the cash via a note; they could either pay the money back in full now or have it deducted from their future pay and bonuses; if they chose not to answer, the money would be deducted from their salary automatically.
According to NBC4, Honda stated that it requested employees to reimburse a portion of their bonuses and said that doing so was lawful. However, Honda would not say how much the bonuses were or how much the employees were asked to repay.
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Honda issued incentive payments to its employees earlier this month, and some of them got over payments, the firm stated in a statement.
Compensation-related issues are delicate subjects.
In order to lessen any potential effects on our employees, we are moving promptly to address this issue.
One employee’s wife, however, allegedly stated that her husband was requested to return approximately 10% of the bonus. She informed NBC4 that the refund amount was large but asked to stay anonymous: “That’s a car payment, you know. That covers 50% of our mortgage… That’s enough food for two or three weeks. That sum of money is substantial to us.
She stated that her husband had informed her that this wasn’t the biggest bonus he had ever gotten from the business. Why the bonus was initially overpaid is unknown.
Honda Motor reported a drop in profits of about 25% and a more than 4% loss in revenue last year. The business did not offer a forecast for the remainder of the year and in May posted its lowest operational profit in four years.