New Delhi: Receiving a hefty bonus went awry for Honda employees in US. The Japanese carmaker recently sent a memo to employees at its Marysville, Ohio, informing them that the company had overpaid the bonus amount and asked them to give it back, according to a report in NBC4. It further said that if employees do not respond, the money will be deducted from their pay automatically.
“Earlier this month Honda provided bonus payments to its associates, some of whom received overpayments. Issues related to compensation are a sensitive matter and we are working quickly on this item to minimise any potential impact to our associates. Since this is a personnel issue, we have no further information to provide related to this matter,” the company told NBC4 in a statement.
As per the report, the employees said returning the money will be hard for their families, but the report showed that the company had legal right to ask the money back. The memo gives employees until Sept. 22 to choose whether they’d like the amount they owe to be taken out of future paychecks, deducted from future bonuses or paid upfront. Otherwise, Honda will deduct from future bonuses by default.
The wife of one employee reportedly said her husband was asked to return 8 per cent of the bonus. She told NBC4 that the amount being asked to return is significant. “That’s, you know, a car payment. That’s half of our mortgage…That’s two, three weeks’ worth of groceries. That’s a lot of money for us.”
The revenues of Honda Motors fall by more than 4% and profits fall by nearly a quarter last year, as per a report by NDTV.