Knudsen reduced most employee wages by 5%.

The financially ailing dairy company said it cut the wages of its 5,000 employees, effective immediately, to reduce operating costs. The Los Angeles company said employees who earned up to $50,000 would receive 5% wage cuts, those who earned between $50,000 and $100,000 would receive 10% wage cuts, and those who earn more than $100,000 would receive a 15% wage reduction.