Suzuki Motor Corp. Chairman Osamu Suzuki will not receive executive remuneration for a one-year period starting in July as part of disciplinary measures following revelations of improper vehicle inspections, the automaker said Tuesday.
President Toshihiro Suzuki will receive a 50 percent pay cut for six months. The chairman and president will decline their annual bonuses for fiscal 2018.
Chairman Suzuki himself declined to receive pay, the company said. He earned ¥220 million in fiscal 2017, including ¥93 million as a bonus.
“We will make all-out efforts to ensure legal compliance,” he said in a statement. The company’s irregularities include inspections by unqualified workers.
The company will dismiss Hiroaki Matsuura, director and managing officer in charge of vehicle inspections. He will resign as managing officer Friday and leave the board June 27 after the company’s annual shareholder meeting.
The automaker punished other managers involved in the improper inspections, but declined to elaborate.
As preventive steps, the company will establish an inspection reform committee headed by the executive vice president on Saturday, aiming to revise rules such as qualifications for inspectors.