HOG - Harley-Davidson Announces 700 Layoffs in Restructuring Plan
Harley-Davidson (NYSE: HOG) announced its new Rewire strategic plan in April 2020, as the COVID-19 pandemic worsened a business already hit by tariffs and slumping sales. The maker of the iconic brand reported motorcycle segment revenue down 8% in 2019, and shipments down 6.4% versus the prior year.
Today, the company said it was overhauling its global business model to become more nimble and focused. CEO Jochen Zeitz said, "We've taken a hard look at our entire setup, our spending, and how work is getting done, to align our operating model, structure, and processes." The streamlined business will result in $42 million in restructuring costs in the current second quarter and 700 total layoffs, most of which will occur in 2020, the company said.
Image source: Harley-Davidson.