The company confirmed the pay increase for production workers at U.S. Honda facilities would start in January. The news was communicated to U.S. workers Friday morning.
And the wage progression for production employees will change from a six-year progression to three years, the automaker also said.
“Honda has been committed to maintaining an excellent employment experience for our production associates since we began manufacturing in America in 1979, including competitive wage and benefit packages and a work environment founded on teamwork, mutual respect, and open communication,” the company said in a statement to this newspaper. “Honda greatly values all of our associates and the many contributions they make to our customers and our communities, and over the past two years we have made a number of changes to our benefits packages, which will continue with changes to compensation for production associates at our U.S. facilities, which will take effect in January 2024.”
Honda also said that in the past two years, it has added more than 10 new benefits, including “childcare reimbursement, student loan repayment, lifestyle account, and expanded our associate assistance program.”
“We will continue to look for opportunities to ensure that we provide an excellent employment experience for Honda associates,” Honda said.
Honda has more than 10,000 employees in Ohio.
In February, Honda, and LG Energy Solution broke ground for an electric vehicle battery production plant, representing $3.5 billion of an overall projected $4.4 billion investment in EVs in Ohio.
In 2017, workers at Fuyao Glass America in Moraine rejected an invitation to join the UAW. Since then, however, under new leadership, the union appears to have found new energy, extracting new concessions and more lucrative contracts from GM, Ford and Stellantis N.V. in a two-month multi-plant strike.
Asked about the UAW’s plans, a spokesman for Honda in Ohio said Friday, “Our focus and commitment is to provide the best employment experience, including competitive wages and benefit packages, for our associates. Honda continuously reviews total rewards packages, including wages, to ensure we remain competitive within the industry.”