Mitsubishi Motors announced that more than 650 people will respond to the voluntary retirement program that had been recruited due to the sluggish performance caused by the new coronavirus.
Since the middle of last month, Mitsubishi Motors has been soliciting 550 voluntary retirements for employees aged 45 and over, but according to the announcement, 654 have indicated their intention to retire accordingly.
The company has a policy of paying an extra retirement allowance to employees who voluntarily retire, and will record the required 7.2 billion yen as an extraordinary loss.
Mitsubishi Motors expects that the financial results for this fiscal year will be a final deficit of 360 billion yen due to the effects of the new coronavirus on the sluggish business performance, and hopes to proceed with recovery by reducing labor costs.
Among domestic companies, apparel companies, travel agencies, and restaurant chains, which are seriously affected by the new coronavirus, are also seeking voluntary retirement, and the impact on employment is spreading.