P.M. Briefing : Mazda to Cut Executive Salaries
From Times Wire Services
TOKYO —
Mazda Motor Corp. of Japan said today it will cut the salaries of its chairman and 17 other top executives by up to 10% for three months in connection with a recall of nearly 3,500 cars.
The pay cuts for Chairman Kenichi Yamamoto and the other executives were decided one day after the Transport Ministry warned Mazda to pay stricter attention to the safety of its cars, said a Mazda official, speaking on condition of anonymity.
The cuts, which range from 5% to 10%, will last for the first quarter of 1991, the official said.
The ministry has investigated charges that Mazda has been replacing defective parts during routine maintenance without recalling the cars or notifying the government.
