Yang Ming Agrees to Pay Cuts
Yang Ming Marine Transport Corp management team has agreed to take steep pay cuts to weather a downturn in the global cargo shipping sector that has strained the company’s earnings.
According to a report in Taipei Times, the company’s board of directors approved a plan to cut the salaries of first line managers by 30 percent, while executives’ pay is to be reduced by 50 percent.
The pay cuts are estimated to yield annual cost savings of about NT$30 million (US$953,349), Yang Ming said in a statement.
Yang Ming’s sales in the first nine months of this year dipped 14.09 percent annually to NT$83.89 billion.
The company said its pay cuts reflect the management team’s conviction in effecting operational turnaround plans, and the gesture would boost morale among its staff and line personnel.
Yang Ming said it has also implemented new guidelines aimed at achieving more nimble operations and more stringent cost controls.