Harley-Davidson Takes Additional Actions in Response to COVID-19 Impact

MILWAUKEE (April 15, 2020) – Today, Harley-Davidson, Inc. (“Harley-Davidson”) (NYSE: HOG) announced additional actions it is taking in response to impacts of COVID-19 on its business. 

“The effects of COVID-19 on economies around the world have been swift and unprecedented. It is essential for us to respond quickly, adapt and position the company to manage near-term challenges while preparing to reenergize the business for the recovery and beyond,” said Jochen Zeitz, acting president and CEO, Harley-Davidson.

In response to the near-term impacts of COVID-19, the company is taking the following actions to lower costs:

  • Significantly reducing all non-essential spending
  • Temporarily reducing salaries
    • CEO and the Board of Directors will forgo salary/cash compensation
    • 30 percent reduction for executive leadership
    • 10 to 20 percent reduction for most other salaried employees in the United States
    • No merit increases for 2020
  • Implementing a hiring freeze

Outside of the United States, the company will take similar actions as based on regulations governing each of its operating locations. Salary reductions will be reassessed at the end of the second quarter as the company continues to closely monitor business conditions. 

The majority of its global production employees are currently on temporary layoff. Medical benefits remain intact for all global employees. 

“We understand that navigating this new reality has a real impact on our employees,” added Zeitz. “Their dedication to Harley-Davidson is never taken for granted, and we thank them for supporting one another and rallying together as we manage the profound impact of COVID-19.”

Harley-Davidson will release its first quarter 2020 financial results on Tuesday, April 28, 2020. 

Company Background

Harley-Davidson, Inc. is the parent company of Harley-Davidson Motor Company and Harley-Davidson Financial Services. Since 1903, Harley-Davidson has fulfilled dreams of personal freedom with an expanding range of leading-edge, distinctive and customizable motorcycles in addition to riding experiences and exceptional motorcycle accessories, riding gear and apparel. Harley-Davidson Financial Services provides financing, insurance and other programs to help get Harley-Davidson riders on the road. Learn more about how Harley-Davidson is Building the Next Generation of Riders at www.harley-davidson.com.