Honda to cut production; will affect Alabama plant

Published 12:10 pm Tuesday, January 27, 2009

Honda Motor Co. says it is cutting production in Japan and North America by an additional 50,000 vehicles amid a severe slump in global sales, with temporary workers to be laid off at its Alabama plant.

Japan’s No. 2 automaker says output in North America will fall by 29,000 units, affecting Honda’s three plants in the region — Lincoln, Ala.; Ontario, Canada; and Marysville/East Liberty, Ohio.

At Lincoln, production will decline by 6,000 units, and an undisclosed number of temporary workers will be laid off.

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“Due to competitive reasons, Honda does not disclose details relating to the staffing of its production operations,” plant spokesman Mark Morrison said after Monday’s announcement.

The move does not affect the plant’s 4,500 full-time employees.

Due to the production cuts, Honda’s overall output in North America will drop by 12 percent to 1.26 million units in the current fiscal year ending March 31.

The Alabama factories roll out the Accord sedan and Odyssey minivan, while the Ontario plant makes the popular Civic.