(WRIC) — Beginning next Saturday, April 18, more than 15,000 CarMax associates will be placed on furlough as a result of store closures during the COVID-19 pandemic.
Citing government mandates nationwide, the furloughs will impact more than 400 people throughout Virginia.
The statement released Wednesday called the decision a “difficult” one, adding that “any ongoing furlough determinations are subject to change due to future government mandates affecting store openings or closings, as well as future business conditions.”
“Each and every one of our associates are incredibly important to us,” said Bill Nash, CarMax president and CEO. “We will not rest until we can start pulling our team back together,”“I believe that these steps will help our company withstand the current environment and successfully emerge from these difficult times.”
CarMax says it will offer transition pay to each impacted employee. Additionally, CarMax will pay the current cost of the associate’s portion of the medical plan, plus the employer portion, until further notice.
The statement adds that Nash will forego 50% of his salary and each member of the company’s senior leadership team is taking a reduction in pay until further notice.
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