All 41 executive officers of Toshiba Corp. will have their salaries cut by up to 50 percent as the company takes responsibility for accounting irregularities, sources close to the matter said Wednesday.
The pay cuts, which range between 10 percent and 50 percent, will last from this month until the electronics maker resumes paying dividends, the sources said.
Toshiba has yet to report its annual earnings results for the business year through March against a backdrop of accounting irregularities linked mostly to past infrastructure projects. The Tokyo-based company is expected to fail to report the results at its annual shareholders' meeting, which is normally held at the end of June.
Executive salaries for four vice presidents will be cut by 30 percent, the sources said, while President Hisao Tanaka has already announced that his pay will be reduced by 50 percent.
Toshiba has said it expects to revise down its operating profit for the three years through March 2014 by at least ¥50 billion, as improper accounting was found in the infrastructure business. Further downward revisions are possible if more such irregularities are detected by a third-party committee set up earlier this month.