BRP Inc. temporarily lays off office workers following global production halt
April 15, 2020 by The Canadian Press
VALCOURT, Que. – BRP Inc. is announcing temporary layoffs of office workers as part of cost reduction measures prompted by the COVID-19 pandemic.
The maker of Ski-Doo snowmobiles and Sea-Doo watercraft says “some employees” will be laid off or furloughed, while others will work reduced hours or fall subject to permanent layoffs.
The move comes amid a new hiring freeze and after the company suspended all production lines and temporarily laid off the majority of its assembly line workers.
CEO Jose Boisjoli says the decision aims to protect employees – 13,500 were employed as of Jan. 31 – and ensure the company’s long-term growth, stating that BRP entered the crisis “from a strong position.”
The company says Boisjoli is forgoing his salary for the quarter, while executives are taking a 15 per cent cut and board members are dropping the cash portion of their compensation.
Remaining office employees face a 10 per cent salary reduction as the company cuts operating expenses and postpones capital expenditures.