Honda Motor Co. said Tuesday it had furloughed workers at its U.S. plants due to the economic impact of the coronavirus outbreak.
A spokesman for Honda, which employs about 18,400 workers at plants in Alabama, Indiana and Ohio, said the Japanese automaker would cover salaries through Sunday, according to Reuters.
Honda is extending through May 1 its suspension of production at all of its automobile, engine and transmission plants in the U.S. and Canada, the company said in a press release. The production suspension began March 23.
“In addition to the impact of COVID-19 on the marketplace, stay-at-home orders in many cities and states prevent consumers in a number of markets from purchasing new vehicles. As a result, Honda must continue to suspend production in order to align product supply with a lack of market demand,” the motor company said in a statement Monday.
The company’s powersports plant in South Carolina also will also suspend production until May. Operations at the plant have been suspended since March 26.