Major measuring instrument maker Yokogawa Electric Corp. plans to reduce the work time of 6,000 permanent employees by three days a month to address deteriorating business conditions under the global economic slowdown, industry sources said Wednesday.
The Tokyo-based company is consulting its labor union on the plan, which it expects to implement through June once an agreement is reached, the sources said.
Yokogawa Electric has been grappling with slowing orders for its industrial instruments as its core clients cut back on capital investment due to the economic downturn.
The measure will affect 60 percent of the company's 10,000 permanent employees based in Japan, but the company plans to guarantee basic pay for the affected employees during the three-day release using government employment adjustment subsidies, the sources said.