Indian Motorcycles’ parent company Polaris will restart some product production. It’s a good news/bad news situation for both the company and employees.

Good news / Restarting production

Polaris had halted production on March 23 but has now decided to restart select manufacturing product lines.  They will open production lines “…for products with adequate demand and supply chain coverage.” In other words, if there’s a demand for the product and they have the necessary parts, they will once again begin production.

Polaris went on to say that it continues to ship finished vehicles to dealers and will produce products that are consistent with governing federal, state, and local directives.  Polaris did not identify which products it was manufacturing.

But an article in the Star Tribune said that the vehicles still being produced are being made for the government such as its four-wheel-drive Ranger military vehicle. It’s unclear which, if any, other products will resume production.

Indian Motorcycle Logo

Indian hasn’t said whether it is restarting the production of Indian motorcycles.

Not so good news / Cost-cutting measures

While the production of some vehicles is good news for some Polaris employees, there’s not so good news for other employees.  Polaris also announced several cost-cutting measures that affect employees significantly.

Saying that the cost-cutting measures are temporary, Polaris will implement the following actions:

  • Furloughing most exempt and nonexempt Polaris employees for two weeks in the second quarter. Employees will not be paid but will maintain their health care benefits.  They may be eligible for unemployment benefits, subject to federal, state, and local regulations;
  • Nonfurloughed exempt and nonexempt employees, including Polaris’ Executive Leadership Team, will have their pay reduced by approximately 20 percent.  The cuts will begin on April 13 and continue through the end of the second quarter;
  • Implementing a hiring freeze on exempt and nonexempt positions;
  • Delaying merit increases for exempt and nonexempt employees through the end of the year;

In line with the above cost-cutting measures, Polaris’ Chairman and CEO, Scott Wine, will forgo his salary for the remainder of 2020.



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