GM to axe 10,000 salaried jobs and cut execs’ pay

NEW YORK — General Motors Co. said it would cut its global salaried workforce to about 63,000 from 73,000 during 2009 and impose pay cuts for the remainder of its salaried workforce.

The job cuts are the latest step the struggling automaker is taking to pare down its operations ahead of presenting a restructuring plan to the U.S. government on February 17.

“These difficult actions are necessitated by a severe drop in vehicle sales worldwide and by the need to restructure GM for long-term viability,” GM said in a release on its Web site.

In the United States, approximately 3,400 of GM’s 29,500 salaried employees will be cut.

The company announced a temporary pay cut for most of its U.S. salaried employees, beginning May 1, effective through the end of the year. Executive employees will have their base pay cut by 10 percent, with others seeing cuts of 3 percent to 7 percent.

(Reporting by Patrick Fitzgibbons; Editing by Derek Caney)

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