Columbia Sportswear Co. CEO reduces salary to $10K to avoid layoffs, pay employees during pandemic
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As retail stores close nationwide due to the novel coronavirus pandemic, corporations have begun to lay off workers by the thousands. Those who are not being laid off potentially face time off without pay, coupled with the uncertainty of when they will returColumbia Sportswear Co. CEO reduces salary to $10K to avoid layoffs, pay employees during pandemic
As retail stores close nationwide due to the novel coronavirus pandemic, corporations have begun to lay off workers by the thousands. Those who are not being laid off potentially face time off without pay, coupled with the uncertainty of when they will return to work. According to the United Nations International Labor Organization, the coronavirus pandemic could result in the loss of almost 25 million jobs worldwide. In order to continue paying employees amidst the pandemic and ensure employees are paid fully, Columbia Sportswear Co. announced that chief executive officer (CEO) Tim Boyle has reduced his pay to $10,000 a year. In addition, the retailer said that at least 10 of the company’s top executives have volunteered to take a 15% pay reduction, the Associated Press reported. The sportswear company owns other brands including Sorel, Mountain Hardware, and Prana. While it has closed all retail stores, the company says it has not laid off any of its employees nationwide. Under what is called a “catastrophic pay” plan, the company is continuing to pay employees their regular salaries. “Columbia has been in business since 1938 and has weathered many storms by keeping our focus on the well-being of consumers, employees and the larger community,” Boyle said in a statement. At the time of the statement, the company announced all stores would be closed until April 10. Read more