Nissan temporarily lays off 10,000 workers, Honda putting thousands more on leave

Zac Palmer

Update: Additional information and a statement from Nissan has been added to the story.

Nissan is temporarily laying off about 10,000 workers in the U.S. as its plants sit idle. These layoffs will largely affect folks who worked at plants in Tennessee and Mississippi, according to a report by Nikkei

As of now, Nissan has announced plant shutdowns lasting through late April. Nissan told us that all the employees that are being temporarily laid off will be brought back on when Nissan begins production again. In the meantime, those employees will keep their benefits (including healthcare) that they had while they were working. A Nissan spokesperson sent us the following statement.

"Nissan manufacturing facilities in the U.S. are closed through late April due to the impact of the COVID-19 coronavirus. The company is implementing temporary layoffs to help manage the business where activity is reduced. Affected employees will be eligible to apply for government support such as enhanced unemployment benefits."

We've also learned that some employees that are deemed essential will continue to work. Nissan made it clear that it currently intends to bring 100 percent of the workers back that were temporarily laid off.

Meanwhile, the report also says that Honda will be putting half of its U.S. staff (over 10,000 employees) on temporary leave. The move affects factory workers in Ohio and Alabama factories, but it will reportedly extend to other states, as well. This temporary leave will be up at the end of April, according to the report. A Honda spokesperson says that salaries will be guaranteed through Sunday.

Both Nissan and Honda workers will be instructed to pursue unemployment benefits in the meantime. Honda also announced plans to restart production at the beginning of May, along with FCA today. Just like most announcements pertaining to the coronavirus these days, that date is fluid and will change with current events.

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